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DARP (Demand, Average Revenue, Price)

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AP Microeconomics

Definition

DARP is an acronym that represents the relationship between demand, average revenue, and price in microeconomics. Demand refers to the quantity of a good or service that consumers are willing and able to buy at a given price. Average revenue is the total revenue divided by the quantity sold, while price is the amount of money charged for a product or service.

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