The Chinese-Made, Sub-$100 Smartphone is Africas Fastest-Growing Handset More than half of all smartphones sold in Africa

Question:

The Chinese-Made, Sub-$100 Smartphone is Africa’s Fastest-Growing Handset More than half of all smartphones sold in Africa cost less than $100 and are made in China. As phone networks are upgraded across Africa, social media rises in popularity, and mobile internet access becomes more affordable, the demand for smartphones increases.

a. Explain the effects of the increase in demand for smartphones in Africa on the market for smartphones and on an individual smartphone producer in the short run.

b. Draw a graph to illustrate your explanation in part (a).

c. Explain the long-run effects of the increase in global demand for smartphones on the market for smartphones.

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Related Book For  book-img-for-question

Economics

ISBN: 9781292433639

14th Global Edition

Authors: Michael Parkin

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