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Commerce · Q666

Economics

Graduate and Post Graduate · Commerce · question 666

Q666

The price of compact disc players fell over the past decade due to the combination of improving technology and rising incomes. The falling prices of a compact disc caused the

A.
Demand curve for compact disc players to shift rightward faster than the supply curve of compact disc players shifted rightward
B.
Supply curve of compact disc players to shift rightward faster than the demand curve for compact disc players shifted rightward
Answer
C.
Demand curve for compact disc players to shift leftward and supply curve of compact disc players to shift leftward
D.
Supply curve of compact disc players to shift rightward and the demand curve for compact disc players to shift leftward

Answer: Option B

Solution

Answer: Option B
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