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3. (10 points) The WSJ reports that the prices of PC components are expected to fall by 5-8 percent over the next six months. Scenario
3. (10 points) The WSJ reports that the prices of PC components are expected to fall by 5-8 percent over the next six months. Scenario 1: You manage a small rm that manufactures PCs. Scenario 2: You manage a small software company. Please analyze the impact of this fall in price of PC components on the market (demand and supply curves) for PCs and on the market (demand and supply curves) for PC software. Please show the changes on two graphs, one graph for the PC market, and one graph for the software market. You must show the changes in equilibrium price and quantity in each market and give an explanation
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