Question - The table below presents the market supply schedule for laptop computers in the "Initial Market Quantity of Computers Supplied" column. Suppose a new firm, NF Computers, enters the market with the supply schedule shown in the "Quantity of Computers Supplied by NF Computers" column.
a. Fill in the new market supply schedule in the "New Market Quantity of Computers Supplied" column.
|
Market Supply of Computers
|
|
Price (dollars)
|
Initial Market Quantity of Computers Supplied
|
Quantity of Computers Supplied by NF Computers
|
New Market Quantity of Computers Supplied
|
|
$500
|
1,000
|
75
|
|
|
475
|
900
|
69
|
|
|
450
|
800
|
63
|
|
|
425
|
700
|
54
|
|
|
400
|
600
|
45
|
|
|
375
|
500
|
36
|
|
|
350
|
400
|
27
|
|
|
325
|
300
|
18
|
|
b. At a price of $425 per laptop computer, the entry of the new firm will increase the quantity of computers supplied by computers, resulting in a total market quantity of computers.