Advertisements
Advertisements
Question
Demand curve of a firm is perfectly elastic under: (Choose the correct alternative)
(a) Perfect competition
(b) Monopoly
(c) Monopolistic competition
(d) Oligopoly
Solution
The correct option is (a). Demand curve of a firm is perfectly elastic, i.e. horizontal straight line under perfect competition.
APPEARS IN
RELATED QUESTIONS
What are the features of perfect competition.
The objective of a seller in monopoly market is...............................
(loss \ profit \ negative profit \ zero profit)
Explain the implications of the following in a perfectly competitive market :
Large number of sellers
Explain the implications of the following in a perfectly competitive market :
Homogeneous products.
Explain the implications of the following in an oligopoly market: A few or a few big sellers
What is price-maker firm?
A seller cannot influence the market price under (choose the correct alternative)
a) Perfect competition
b) Monopoly
c) Monopolistic competition
d) All of the above
What is meant by collusive oligopoly?
Give reason or explain the following.
Price discrimination is possbile under monopoly.
State whether the following statement is True or False with reason:
Perfect competition means pure competition.
Answer the following question
What are the features of monopoly?
Answer the following question
What are the features of monopolistic competition?
State with reason whether you agree or disagree with the following statement
A seller is price maker in monopoly.
Distinguish between the following:
Perfect competition and Monopolistic competition
Give reason or explain:
Sellers and the buyers are price takers in perfect competition.
Answer the following question.
What is the reason for an indeterminate demand curve under Oligopoly?