A perfectly competitive firm's horizontal demand curve implies that the firm does not have to lower its price to sell more output.

Question

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A perfectly competitive firm's horizontal demand curve means that the firm can sell an unlimited quantity of output at the same price. Therefore, the firm does not have to lower its price to sell more output because it can already sell as much as it wants at the market price.

A Perfectly Competitive Firm's Horizontal Demand Curve Implies That the Firm