What do economists call firms that face downward-sloping demand curves for their output in the product market?
A)price takers.
B)price dictators.
C)monopolists.
D)price makers.

Question

Quizplus · Accepted Answer

Firms that face downward-sloping demand curves for their output in the product market are called price makers. This means that they have some control over the price they charge for their product, but must still consider the impact on demand when setting prices. Monopolists are a specific type of price maker that have complete control over the market and can set prices at their discretion. Price takers are firms that have no control over the market price and must accept the market price as given. Price dictators is not a commonly used term in economics.

What Do Economists Call Firms That Face Downward-Sloping Demand Curves