The popularity of digital cameras has enticed large discount stores like Wal-Mart and Costco to offer digital photo printing services. How does the offering of the printing service by Wal-Mart and Costco affect the digital photo printing market?
A) The demand curve for digital photo printing services shifts to the right.
B) The demand curve for digital photo printing services shifts to the left.
C) The supply curve for digital photo printing services shifts to the right.
D) The supply curve for digital photo printing services shifts to the left.

Question

Quizplus · Accepted Answer

The entry of large discount stores like Wal-Mart and Costco into the digital photo printing market increases the supply of these services, shifting the supply curve to the right.

The Popularity of Digital Cameras Has Enticed Large Discount Stores