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The reason why demand curve is always downward slopin a competitive market is because there are many sellers and buyers in the market.so the price of a commodity in such market determines the demand and supply of that product.unlike a monopolistic market were there is just öne seller and many buyers
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A firm in a monopolistically competitive market is similar to a monopolist in the sense that it?
faces a downward-sloping demand curve
What is the shape of a market demand curve?
Usually market demand curves are downward sloping.
How does a market demand curve differ from a demand curve How are they similar?
downward sloping
What is equilibrium price in economics?
It is the price where demand equals supply in a competitive market.
How can a company have a downward demand curve but still have marginal revenue equal price?
If the Demand Curve is separate from the MR=P curve, the company can not be of Perfect Competition. It can exist in any other market structure: Monopolistic Competition, Monopoly, or Imperfect Competition. In each of these three structures, the Demand Curve will always fall twice as fast as the MP=P=AR Curve. To answer your question in these terms, the company can have a downward sloping Demand Curve separate from the MR=P curve if it is not in the PC Market Structure.
A firm in a monopolistically competitive market is similar to a monopolist in the sense that it?
faces a downward-sloping demand curve
What is the shape of the market demand curve?
Usually market demand curves are downward sloping.
What is the shape of a market demand curve?
Usually market demand curves are downward sloping.
How does a market demand curve differ from a demand curve How are they similar?
downward sloping
In a perfectly competitive market an increase in demand will in the long run generally cause?
An increase in demand in a perfectly competitive market will lead to an increase in revenue for the business. The more they sell the more they will make.
In a graph of price vertical axis verses quantity horizontal demand is downward sloping because?
market demand
What is equilibrium price in economics?
It is the price where demand equals supply in a competitive market.
How can a company have a downward demand curve but still have marginal revenue equal price?
If the Demand Curve is separate from the MR=P curve, the company can not be of Perfect Competition. It can exist in any other market structure: Monopolistic Competition, Monopoly, or Imperfect Competition. In each of these three structures, the Demand Curve will always fall twice as fast as the MP=P=AR Curve. To answer your question in these terms, the company can have a downward sloping Demand Curve separate from the MR=P curve if it is not in the PC Market Structure.
In a competitive market free of government regulation?
In a competitive market free of government regulation, the price of a product will continue to adjust. The only time it will stop is when demand is equal to the quantity supplied.
In a competitive market the equilibrium price and quantity occur where?
When demand curve intersects the supply curve.
What can happen to prices in a competitive market when demand increases as supply remains the same?
increase in prices
Why is a Monopoly markets undesirable RELATIVE to perfect competitive market discuss?
In Monopoly, there is no market power as the monopoly firm is the only supplier and holds pricing power. However in a perfect competitive market, prices are set by interaction of supply and demand. This is why monopoly markets are undesirable relative to perfect competitive market.
