Which of the following is not a characteristic of a 'price taker'?
A
TR = P x Q
B
AR = Price
C
Negatively sloped demand
D
Marginal Revenue = Price
Correct Answer: Negatively sloped demand
Negatively sloped demand is not a characteristic of a 'price taker'. A price taker lacks enough market power. The objective of market to influence the prices of goods or services.