In a competitive market, Tom manufactures commemorative t-shirts. Tom's revenue will drop if he decides to reduce his output because both his output and pricing will drop. As a result, choice C is accurate.
In a market where there is competition, many producers compete with one another to meet the demands of their customers. No producer or group of producers can set the price in this market. There is only one important choice they must make: how much to create. Because neither a higher market price nor a drop in output from competitors resulted from Tom's decision to create commemorative t-shirts, his decision did not boost his revenue. The correct response is C. Since the price is unchanged, reduce his revenue.
To know more about competitive market: https://brainly.com/question/1748396
#SPJ4
