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Consider a simple market for smartphones and smartphone cases, two goods that are typically purchased together. Suppose initially that the price of a smartphone case
Consider a simple market for smartphones and smartphone cases, two goods that are typically purchased together. Suppose initially that the price of a smartphone case does not affect the demand for smartphones. 1. Draw a graph representing the initial demand curve for smartphones. Ensure you label your axes and curve accurately. 2. Now suppose that there is a significant decrease in the price of smartphone cases due to technological advancements in case production. Explain how this change would affect the demand for smartphones. 3. Illustrate the impact of this change on your graph. Draw a new demand curve to represent the shift, if any, and label it appropriately
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