If new manufacturers enter the computer industry, then ceteris paribus):
A) the supply curve shifts to the left.
B) the supply curve shifts to the right.
C) the demand curve shifts to the left.
D) some established manufacturers must exit the industry.

Question

Quizplus · Accepted Answer

When new manufacturers enter the computer industry, it increases the total quantity of computers available in the market at every price level, leading to a rightward shift in the supply curve. This is because more producers mean more supply, assuming all other factors remain constant (ceteris paribus).

If New Manufacturers Enter the Computer Industry, Then Ceteris Paribus)