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What Effect Should Each of the Following Have Upon the Demand

question 10

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What effect should each of the following have upon the demand for MP3 players? Explain your reasoning in each case.(a) the development of reasonably-priced smart phones that compete with MP3 players
(b) an increase in population and incomes
(c) a substantial increase in the number and quality free downloadable MP3s
(d) consumer expectations of substantial price increases in MP3 players
(e) a decrease in the price of MP3 players


Definitions:

Transform Faulting

A type of strike-slip fault where tectonic plates slide past each other horizontally, often causing earthquakes.

Subducted Plate

A tectonic plate that is being forced downward into the mantle by another plate at a subduction zone.

Plate Boundary

The edges where two tectonic plates meet, which can result in earthquakes, volcanic activity, and the formation of mountain ranges.

Subducted Plate

The portion of a tectonic plate that is forced below another plate into the Earth's mantle at a convergent boundary.

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