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Figure 8.1 Market and Firm Demand in Perfect Competition
(a) In the perfectly competitive market for Grade-A large eggs, farmers supply millions of dozens of eggs at a market price of $2.25 per dozen.(b) Ty, an individual supplier of dozens of eggs in the market, must sell at the price set by the market. Hence, he faces a perfectly elastic demand curve at the market price of $2.25 per dozen.