identify all types of market competition where firms face a

identify all types of market competition where firms face a downward sloping demand curve

a) perfect competition

b) monopolistic competition

c) oligopoly

d) monopoly

Solution

Under monoplistic competition , and monopoly market competition firm faces a downward sloping demand curve. Under perfect competition firm faces a perfectly elastic demand curve i.e horizontal line because in this market firm is a price taker and they can\'t influence the price. Under oligopoly there can be kinked demand curves .