Question: b). Since semiconductors is complementary good its price increase will reduce the supply. c.) The supply will decrease as there is positive correlation between price
b). Since semiconductors is complementary good its price increase will reduce the supply.
c.) The supply will decrease as there is positive correlation between price and supply.
e ) An increase in consumer incomes will increase demand for a normal good, inferior good.
Questions:
b) Are semiconductors a complimentary good to computers or are they an input to computers?
c) Does price affect quantity supplied or supply?
e) Does income affect demand or supply?
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