it in demand curve x Meet - ugd-xhnf-fbs O X + MzE50DE1NzY1MzAy/a/NDExODcyMjMzMTUz/details Exam practice Using an appropriate demand diagram, explain the impact on the demand for Apple smartphones in the following cases: 1 An increase in the price of Apple smartphones. [4] 2 An increase in the price of Samsung smartphones. (4] 3 An increase in consumer incomes. [4] A successful advertising campaign promoting Samsung's latest smartphones. (4] The meaning of supply Supply is the ability and willingness of firms to provide goods and services at given price levels. Firms will have more incentives to supply their products at higher prices - the higher the price, the greater supply tends to be (see Figure 3.5). There are two reasons for this relationship: Existing firms can earn higher profits if they supply more. . New firms are able to join the market if the higher price allows them to cover their production costs. Supply The law of supply states that there is a positive relationship A P2 between price and the quantity supplied. As O D F4 ES F7 F8 F9 F10 F11 F12 4 5 7 R