What will happen if the price of CD players decreases the demand - ProProfs Discuss
Advertisement

What will happen if the price of CD players decreases the demand curve for compact discs slopes downwards, and the supply curve slopes upwards(in the graph below)?

What will happen if the price of  CD players decreases the demand curve for compact discs slopes downwards, and the supply curve slopes upwards(in the graph below)?<br/>

Change Image    Delete

Asked by Daulatguru, Last updated: Nov 13, 2024

+ Answer
Request
Question menu
Vote up 1 Vote down

4 Answers

John Adney

John Adney

John Adney
John Adney

Answered Jul 30, 2017

The equilibrium price of compact discuss will rise that is what I think

upvote downvote
Reply 

John Adney

John Adney

John Adney

The equilibrium price will fall.

upvote downvote
Reply 

oyejr

oyejr

oyejr
I thought a change in own price will only affect the quantity demanded and not demand. Is my thinking worng or incomplete?
upvote downvote
Reply 

John Smith

John Smith

John Smith
John Smith

Answered Oct 24, 2016

The equilibrium price of compact discs will rise

Clearly CD players are a complementary good to compact discs. So if the price of CD players decreases the demand for them will rise and so too will the demand for compact discs. Hence the demamd curve for discs will shift to the right causing the equilibrium price to rise.
upvote downvote
Reply 

Advertisement
Advertisement
Search for Google images Google Image Icon
Select a recommended image
Upload from your computer Loader
Image Preview
Search for Google images Google Image Icon
Select a recommended image
Upload from your computer Loader
Image Preview
Search for Google images Google Image Icon
Select a recommended image
Upload from your computer Loader

Email Sent
We have sent an email to your address "" with instructions to reset your password.