The demand curve for a firm in a market with perfect competition is
A)horizontal.
B)vertical.
C)downward sloping.
D)equal to the marginal cost curve.

Question

Quizplus · Accepted Answer

In a perfectly competitive market, a firm is a price taker, meaning that they have no control over the price and must accept the market price. This results in a horizontal demand curve, as the firm can sell any quantity at the market price.

The Demand Curve for a Firm in a Market with Perfect