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Unformatted text preview: Therefore, even if a firm doubles or completely withdraws its share from the market its actions will not affect market conditions. Further, each firm produces homogeneous products. The goods produced are physically and chemically identical in their qualities. This further takes away the influencing capacity of firms. Finally, there is complete freedom to enter or exit the market. So long as a firm finds existing market conditions beneficial, it will continue to produce and sell....
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- Fall '10