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Supply Curve of Computers $3500- $3000- $2500- $2000- Price $1500 - $1000 $500- $0- 0 1000 2000 3000 4000 5000 6000 Quantity of computers per
Supply Curve of Computers $3500- $3000- $2500- $2000- Price $1500 - $1000 $500- $0- 0 1000 2000 3000 4000 5000 6000 Quantity of computers per month Use the graph above to complete the first two columns of the following table. Monthly Supply of Computers Price per Computer Quantity per Month New Quantity per Month $1,000 1.000 2,000Assume that 1,000 more computers are supplied at each and every price. Complete the third column of the table and use the information to plot the new supply curve on the graph. a. Suppose the price of computers had been $2,500 before the supply curve shifted. How many computers were supplied at that price? b. Suppose the price of computers is $2,000 after the supply curve shifts. How many computers are supplied at this lower price? c. More computers are produced and sold at the lower price than at the higher price. Does this mean the price effect doesn't apply to the supply of computers? Explain. Briefly describe one or two factors that could cause the supply curve to shift as shown in the graph above
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