Monopoly supply

Analysis shows that a supply curve in the ordinary sense does exist and can be derived, which corresponds to a specified family of demand curves described by changes in a single parameter of demand. If the demand curve has an arbitrary number of parameters, an equal number of supply curves can be derived, one corresponding to each family of demand curves generated by variation in one of the parameters, holding the rest of the parameters constant. There is only one supply curve in the case of the perfectly competitive firm because of the form of the demand curve family facing that firm. Further, that supply curve does not involve demand parameters because the sole demand parameter is eliminated in its derivation. In general, this is not the case, and the marginal cost schedule will be insufficient to describe the supply relation for imperfectly competitive firms.