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In a market with many buyers and sellers of a good, where the product sold is identical across firms the industry demand curv

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Answer: the demand curve for each firm's output is perfectly elastic.

In a market with many buyers and sellers, where the product sold is identical or homogeneous, the price will be uniform. So the demand curve for each firm's output will be a horizontal line parallel to x-axis. This denotes that the quantity demanded is infinite at the existing price level and increase in price will cause quantity demanded to fall to zero.

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