Which of the Following Statements Is Correct

question 335

Multiple Choice

Which of the following statements is correct?

• A)The demand curve for a purely competitive firm is perfectly elastic, but the demand curve for a purely competitive industry is downsloping.
• B)The demand curve for a purely competitive firm is downsloping, but the demand curve for a purely competitive industry is perfectly elastic.
• C)The demand curves are downsloping for both a purely competitive firm and a purely competitive industry.
• D)The demand curves are perfectly elastic for both a purely competitive firm and a purely competitive industry.

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Definitions:

Global Prices

The standard cost of goods and services determined by the global market, affecting economies worldwide.

Populist Movement

was a political and social movement in the late 19th century United States that sought to represent the interests of farmers and laborers against the economic elite.

High Freight Rates

The increased costs associated with transporting goods, often due to factors like fuel prices, demand, regulatory fees, and infrastructure issues, impacting economies and consumers.