The demand curves for competitive firms, however, are almost perfectly elastic because no matter how these firms change their production, in a perfectly competitive economy, there are so many firms out there that its production will not affect anything.onopolistic competition, because there are so many relatively weak firms, there are no barriers to entry. Companies can enter the market relatively easily (although, of course, not as perfectly easy as in perfect competition). This makes for a long-term equilibrium competition of no profit.
How Is Natural Gas Produced. Natural gas is found in oil fields, natural-gas fields and coal beds. Since natural gas isn't a pure product, it needs to undergo processing before it can be used as consumer fuel. The gas is extracted from a field using a decompression process called retrograde condensation.
Introduction to Methane. What we call natural gas is mostly the chemical compound methane (95% or more; the rest is ethane or longer carbon chains). Methane, which comes out of the ground as a gas, is produced when microorganisms known as methanogens feed on organic matter in environments with little or no oxygen.ethane, like all fossil fuels, can be combusted (reacted with oxygen) to form energy and water. In fact, a large and growing part of our electricity supply comes from methane. It is the simplest fossil fuel â a single carbon atom with four hydrogen atoms, or CH4.