Danielle Ocean pays for monthly pool maintenance for her home swimming pool.Last week the owner of the pool service informed Danielle that he must raise his monthly service fee because of increases in the price of pool chemicals.How is the market for pool maintenance services affected by this?

Question

Quizplus · Accepted Answer

The increase in the price of pool chemicals is likely to increase the cost of providing pool maintenance services, leading to a decrease in the supply of these services as some providers may not be willing to continue offering the service at the new price. The demand for pool maintenance services is not directly affected by the increase in the cost of pool chemicals, so choices A and B are incorrect. The quantity of pool maintenance services supplied may decrease, but this is a result of the decrease in supply rather than a change in quantity supplied due to a shift in demand or supply. Therefore, choice C is also incorrect.

Danielle Ocean Pays for Monthly Pool Maintenance for Her Home