Question

INQUIZITIVE W20040C Chapter 10: Understanding Monopoly e Page(s) 313-316 10.2. How much do monopolies charge, and how much do they produce? Perfectly competitive and monopoly firms are complete opposites. Drag word(s) below to fill in the blank(s) in the passage. The monopoly demand curve is: while the perfectly competitive firm's demand curve is This is because a monopoly is the only producer in an industry, so the monopoly firm's curve is the same as the market demand curve, while the perfectly competitive firm produces in a market with competitors. downward sloping demand vertical horizontal total many upward sloping supply few

Answer 1

Monopoly demand curve is downward sloping demand curve while perfectly competitive firms demand is horizontal.

Since monopoly is the only firm, it means firms demand curve is the same as market demand curve, whereas in perfect competition, firm produces in a market with many competitor