The demand curve faced by a firm with a patent on a marketable product
A)is horizontal
B)is vertical
C)slopes upward
D)slopes downward
E)is nonexistent

Question

Quizplus · Accepted Answer

The demand curve faced by a firm with a patent on a marketable product slopes downward, as the quantity demanded decreases as the price increases. The patent gives the firm a temporary monopoly, but the law of demand still applies.

The Demand Curve Faced by a Firm with a Patent