हिंदी

Why is there no single, stable demand curve for each firm in a duopoly?

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प्रश्न

Why is there no single, stable demand curve for each firm in a duopoly?

विकल्प

  • Demand never changes in any market

  • Price is always fixed by the government

  • Demand depends on the rival firm’s behaviour

  • Consumers do not respond to prices

MCQ
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उत्तर

Demand depends on the rival firm’s behaviour

Explanation:

The demand for each firm’s product changes when the rival changes its price, output, or advertising, so one fixed demand curve is not possible.

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