as more people buy computers, the demand for internet service will increase and the price of internet…

as more people buy computers, the demand for internet service will increase and the price of internet service will decrease. the fall in the price of internet service will decrease the supply of internet service. is this statement true or false? why? this statement is ______ because ______. a. true, the decrease in the price of internet service decreases the supply of internet service to eliminate the shortage b. false, an increase in demand for internet service does not decrease the price of internet service and a decrease in the price of internet service does not decrease the supply of internet service c. true, when the demand for internet service decreases, the supply of internet service decreases so that the price of internet service does not decrease d. true, when the demand for internet service decreases, the supply of internet service decreases too so that no shortage occurs e. false, the increase in the demand for internet service creates a shortage and to eliminate the shortage, supply decreases

as more people buy computers, the demand for internet service will increase and the price of internet service will decrease. the fall in the price of internet service will decrease the supply of internet service. is this statement true or false? why? this statement is ______ because ______. a. true, the decrease in the price of internet service decreases the supply of internet service to eliminate the shortage b. false, an increase in demand for internet service does not decrease the price of internet service and a decrease in the price of internet service does not decrease the supply of internet service c. true, when the demand for internet service decreases, the supply of internet service decreases so that the price of internet service does not decrease d. true, when the demand for internet service decreases, the supply of internet service decreases too so that no shortage occurs e. false, the increase in the demand for internet service creates a shortage and to eliminate the shortage, supply decreases

Answer

Brief Explanations:

An increase in demand for internet service (due to more people buying computers) would shift the demand curve to the right, leading to an increase in both the equilibrium price and quantity, not a decrease in price. Also, a fall in the price of internet service leads to a decrease in the quantity supplied (movement along the supply - curve), not a decrease in supply (shift of the supply - curve).

Answer:

B. false; an increase in demand for Internet service does not decrease the price of Internet service and a decrease in the price of Internet service does not decrease the supply of Internet service