The competitive firm's demand curve is horizontal at the market price.

Name: The competitive firm's demand curve is horizontal at the market price.
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In a perfectly competitive market, a firm is a price-taker, therefore, its demand curve is perfectly elastic, meaning that they can sell any quantity of the product at the market price. This is why the demand curve for a perfectly competitive firm is horizontal at the market price.

The Competitive Firm's Demand Curve Is Horizontal at the Market