An Overcapacity of LCD Fabrication Plants Causes the Price of LCD

question 64

Multiple Choice

An overcapacity of LCD fabrication plants causes the price of LCD televisions to fall. How would this affect the market for Blu-ray DVD players (a complement to LCD televisions) if everything else is held constant?

• A)The supply of Blu-ray players would increase and the equilibrium price of Blu-ray players would decrease.
• B)The demand for Blu-ray players would increase and the equilibrium price of Blu-ray players would increase.
• C)The demand for Blu-ray players would decrease because consumers could afford to buy fewer LCD televisions and Blu-ray players.
• D)The demand for Blu-ray players would increase and the equilibrium price of Blu-ray players would decrease.

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Definitions:

Concurrent Schedules

In operant conditioning, it refers to two or more reinforcement schedules that operate simultaneously for two or more behaviors.

Observational Learning

A learning process whereby individuals acquire new behaviors or information by watching and imitating others.

Cognitions

Cognitions refer to the mental processes involved in gaining knowledge and comprehension, including thinking, knowing, remembering, judging, and problem-solving.

Retention

The ability to hold on to or remember information over time, crucial in learning processes and memory functions.