Given that digital music players are used to play music downloaded from the Internet, a fall in the price of digital music players will lead to:
A) an increase in the price of a song download.
B) an increase in the demand for downloaded songs.
C) an increase in the price of broadband plans.
D) a fall in the demand for digital music players.
E) an increase in the price of personal laptops.

Question

Quizplus · Accepted Answer

A fall in the price of digital music players would make them more affordable and increase their demand. This would likely lead to an increase in the demand for downloaded songs, as more people would be buying digital music players to play them on. However, it would not necessarily lead to an increase in the price of song downloads, as the cost of producing and distributing digital music files is relatively low. The price of broadband plans and personal laptops would also likely remain unaffected.

Given That Digital Music Players Are Used to Play Music