How Does the Firm-Specific Demand Curve in a Perfectly Competitive

question 98

Multiple Choice

How does the firm-specific demand curve in a perfectly competitive market compare to that in a monopoly?

• A) The firm-specific demand curve in a perfectly competitive market is horizontal. The demand curve in a monopoly is downward sloping.
• B) They are the same.
• C) The firm-specific demand curve in a perfectly competitive market is horizontal. The demand curve in a monopoly is upward sloping.
• D) The firm-specific demand curve in a perfectly competitive market is vertical. The demand curve in a monopoly is horizontal.

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Definitions:

Successive Approximations

A method in behaviorism used to shape behavior by rewarding actions that are closer to the desired behavior.

Free Will

The ability to choose between different possible courses of action unimpeded.

Continuous Reinforcement

A learning process in which a behavior is reinforced each time it is exhibited, leading to quicker acquisition of the behavior.

Intermittent Schedule

A reinforcement schedule in which rewards or consequences are given out at irregular intervals to modify behavior.