Question

4. For each market whose product is highlighted in italics, identify whether each of the following trends represents an increase or decrease in demand or an increase or decrease in quantity demanded. How would you describe each change in graphical terms?

a. The drop in the monthly subscription rate changes the number of subscribers to a cable TV provider.

b. The quantity of canned milk purchased adjusts due to a decrease in consumer incomes.

c. The price of a particular brand of perfume rises, leading to a change in sales

d. A rise in the popularity of free online games changes how many computer games consumers choose to purchase

Answer 1

A): HERE IT RESULTS IN INCREASE IN QUANTITY DEMANDED FOR CABLE TV SUBSCRIPTION.

B): HERE IT RESULTS IN DECREASE IN DEMAND FOR CANNED MILK .

C): HERE IT RESULTS IN DECREASE IN QUANTITY DEMANDED FOR THIS PERFUME OF A PARTICULAR BRAND .

D) HERE IT RESULTS IN DECREASE IN DEMAND FOR PAYED COMPUTER GAMES.

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