If demand and supply change in the same direction, we equilibrium quantity and we the direction of change of the the direction of change of the equilibrium price. OA cannot predict cannot predict OB. can predict; can predict OC. cannot predict; can predict OD. can predict cannot predict CLLD

If demand and supply change in the same direction, we equilibrium quantity and we the direction of change of the the direction of change of the equilibrium price. OA cannot predict cannot predict OB. can predict; can predict OC. cannot predict; can predict OD. can predict cannot predict CLLD

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter3: Demand And Supply

Section: Chapter Questions

Problem 3SCQ: In an analysis of the market for paint, an economist discovers the facts listed below. State whether...

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Question

The graph shows the market for computers.
Draw a point at the market equilibrium. Label it 1.
Draw a demand curve that shows what happens if the price of a printer falls. Label the curve D..
Draw a supply curve that shows the effect of a technological advance that cuts the cost of
producing computers. Label it S..
Draw a point at the new market equilibrium. Label it 2.
If demand and supply change in the same direction, we
equilibrium quantity and we
the direction of change of the
the direction of change of the equilibrium price.
OA cannot predict cannot predict
OB. can predict; can predict
OC. cannot predict, can predict
OD. can predict cannot predict
2500-
2000+
1500-
1000-
500-
Price (dollars per computer)
04
35
Pa
Quantity (millions of computers per year
>>> Draw only the objects specified in the question
Q
G
Question

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