A country that produces and consumes a large amount of cell phones comparatively has just entered the world market. If the country becomes a net-importer of cell phones, we would expect that the world _______ curve will shift to the _______ more than the world _______ curve.

Question

Quizplus · Accepted Answer

Demand; right; supply. When a country that produces and consumes a large amount of cell phones becomes a net importer, it indicates an increase in the country's demand for cell phones on the world market. This would shift the world demand curve to the right more than it would affect the world supply curve, as the country's participation increases demand more significantly than it alters global supply.

A Country That Produces and Consumes a Large Amount of Cell