Your grandma finally buys an iPad only after being convinced of the benefits of using it to communicate with the rest of her family, who already have iPads. Her demand for an iPad would be represented
A) on the upward-sloping portion of the network demand curve.
B) on the downward-sloping portion of the network demand curve.
C) at the peak of the network demand curve.
D) nowhere on the network demand curve because it doesn't apply to her.

Question

Quizplus · Accepted Answer

Her demand is represented on the downward-sloping portion of the network demand curve because as more of her family members use iPads, the more beneficial and thus desirable it becomes for her to also use one, reflecting the network effect.

Your Grandma Finally Buys an IPad Only After Being Convinced