The shape of the perceived demand curve for a perfectly competitive firm reflects that firm's ability to: Group of answer choices raise its price without losing all of its customers. lose fewer customers than a monopoly that raised its prices. sell any quantity it wishes at the prevailing market price.

Question

Maci

Business

12 January, 20:29

The shape of the perceived demand curve for a perfectly competitive firm reflects that firm's ability to: Group of answer choices raise its price without losing all of its customers. lose fewer customers than a monopoly that raised its prices. sell any quantity it wishes at the prevailing market price.

+5

Answers (1)

Know the Answer?

Roy Kent · Answer 1

sell any quantity it wishes at the prevailing market price

Explanation:

A perfect market for competition is a market which has a high degree of competition.

It has the following features

1. With regard to the market, information is great in this rivalry between producer and customer.

2. Free entrance, and exit

3. Deals with same or homogeneous products

4. The buyers and sellers are more in this market

5 There is no transport cost exist

Plus we know that demand curve for perfectly competitive firm is elastic as the firm is price taker and reflected in a horizontal line

Hence, the last option is correct