review in 2007, apple released the first iphone. using the concept of the “invisible hand,” explain why…

review in 2007, apple released the first iphone. using the concept of the “invisible hand,” explain why companies no longer produce flip phones. (in large quantities)

review in 2007, apple released the first iphone. using the concept of the “invisible hand,” explain why companies no longer produce flip phones. (in large quantities)

Answer

Brief Explanations:

The "invisible hand" in economics refers to the self - regulating nature of the market. When Apple released the first iPhone in 2007, it created a new consumer preference for touch - screen smartphones. As consumer demand shifted towards this new form factor, the market signaled to companies that flip phones were no longer as profitable. Companies, responding to the market forces (the invisible hand), reallocated resources to produce more of what consumers wanted, reducing production of flip phones.

Answer:

Companies no longer produce flip phones (in large quantities) because the market demand, guided by the "invisible hand" of economics, has shifted towards touch - screen smartphones like the iPhone.