The market demand curve for a product produced in a perfectly competitive industry is normally:
A) a vertical line.
B) upward sloping.
C) a horizontal line.
D) downward sloping.

Question

Quizplus · Accepted Answer

In a perfectly competitive market, the market demand curve is downward sloping because as the price decreases, the quantity demanded increases, reflecting the typical behavior of consumers.

The Market Demand Curve for a Product Produced in a Perfectly