An increase in the demand for cameras and an increase in the number of...
Impact of Increase in Demand for Cameras and Increase in Number of Sellers
Increase in Demand for Cameras:
When there is an increase in demand for cameras, it means that more people are interested in buying cameras. This can happen due to various reasons such as an increase in the popularity of photography, an increase in the number of people who want to capture memories, etc. The impact of an increase in demand for cameras is as follows:
- Increase in the price of cameras: When there is an increase in demand for cameras, the sellers can increase the price of cameras as they know that people are willing to buy them at a higher price.
- Increase in the number of cameras bought: An increase in demand for cameras will lead to an increase in the number of cameras bought as people are willing to pay a higher price for them.
Increase in the Number of Sellers of Cameras:
When there is an increase in the number of sellers of cameras, it means that there are more options available for people to buy cameras. This can happen due to various reasons such as an increase in the number of camera manufacturers, an increase in the number of retailers selling cameras, etc. The impact of an increase in the number of sellers of cameras is as follows:
- Decrease in the price of cameras: When there is an increase in the number of sellers of cameras, the competition among sellers increases, which leads to a decrease in the price of cameras as sellers try to attract buyers by offering lower prices.
- Increase in the number of cameras bought: An increase in the number of sellers of cameras will lead to an increase in the number of cameras bought as people have more options available to them at lower prices.
Overall Impact:
When there is an increase in the demand for cameras and an increase in the number of sellers of cameras, the impact can be summarized as follows:
- Decrease in the price of cameras: The increase in the number of sellers of cameras will lead to a decrease in the price of cameras, which will offset the increase in price due to the increase in demand for cameras.
- Increase in the number of cameras bought: The increase in demand for cameras and the increase in the number of sellers of cameras will lead to an increase in the number of cameras bought as people have more options available to them at lower prices.
Therefore, the correct answer is option B - decrease the price but increase the number of cameras bought.
An increase in the demand for cameras and an increase in the number of...
Yes ...because it is having direct relation
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