Question

If improvements in technology have reduced the cost of producing personal computers, you accurately predict that in the market for personal computers, there will be a(n) Group of answer choices a. decrease in the supply of personal computers, an increase in the price, b. and a decrease in the demand. increase in the supply of personal computers, c. a reduction in the price, and an increase in the demand. increase in the quantity supplied of personal computers, d. a reduction in the price, and an increase in the quantity demanded. e. increase in the supply of personal computers, a decrease in the price, and an increase in the quantity demanded.

Answer 1

Answer:

The correct answer is letter "E":  increase in the supply of personal computers, a decrease in the price, and an increase in the quantity demanded.

Explanation:

According to the supply and demand law, if the costs of producing personal computers decrease so will their price. In front of lower personal computer prices, the quantity demanded will increase which will generate more supply of personal computers in the market.