Question

Using Supply and Demand Diagrams, Show the effect of the following eventson the market for computers, Draw one graph for each part.

All universities mandate income Freshmen to have access to computers. Show in a diagram the direction that demand curve moves what happened to the equilibrium price and quantity? Several components used in the construction of computers become cheaper. Show in another diagram the direction the supply curve moves what happens to the equilibrium price and quantity?

Answer 1

it can actually be mentioned that if access to computers have become mandatory then it can be mentioned that the demand for computers increase as a result of which the demand curve shift to the right with which the equilibrium price and quantity increases as shown in Fig 1 It can be mentioned that if the computer components got to become cheaper, then the input factors become cheaper as a result of which the cost reduces with which the supply increases can the supply curve shift to the right and with the equilibrium price decreases and the quantity increases as shown in Fig 2

Fig2기 가