In the market for digital photo frames,any change in the price of a digital photo frame would lead to a change in the overall demand for other photo frames.

Question

Quizplus · Accepted Answer

This is because digital photo frames are substitutes for traditional photo frames. If the price of digital photo frames decreases, consumers may switch from buying traditional photo frames to buying digital ones, leading to a decrease in demand for traditional frames. On the other hand, if the price of digital photo frames increases, consumers may prefer to buy traditional photo frames instead, leading to an increase in demand for traditional frames. Therefore, there is an indirect relationship between the prices of digital photo frames and the overall demand for photo frames in general.

In the Market for Digital Photo Frames,any Change in the Price