How does the firm-specific demand curve inFigure below shows the short-run and long-run effects of an increase in demand of an industry with increasing cost. The market is in equilibrium at point A, where 100 identical firms produce 6 units of a product per hour. If the market demand curve shifts to the right, what will happen to an individual firm's profit? Select one: a. Each firm earns a positive profit at point B. b. Each firm earns a zero profit at point B because the market is perfectly competitive. c. The profit of each firm decreases as more firms enter the market and share the benefits of an increase in demand pushing the market from point A to point B. d. none of the above a perfectly competitive market compare to that in a monopoly? Select one: a. The firm-specific demand curve in a perfectly competitive market is horizontal. The demand curve in a monopoly is downward sloping. b. They are the same. c. The firm-specific demand curve in a perfectly competitive market is horizontal. The demand curve in a monopoly is upward sloping. d. The firm-specific demand curve in a perfectly competitive market is vertical. The demand curve