ICSE Class 10 Answered

Full control over price under monopoly does not mean that the monopolist can sell any amount of goods at any price. Once the price is fixed by monopolists, the consumers will decide the quantum of the good to buy.

The market demand curve of the monopoly firm shows that the consumer is willing to buy more at lower prices. On the other hand, when the prices are more, the consumer buys lesser quantity. There is an inverse relationship between the price and the quantity sold by a monopoly firm. Thus, the demand curve of a monopoly firm is a downward sloping curve.