Positive technological change in the production of LCD ...

[mckennatimberlake]

Positive technological change in the production of LCD televisions caused the price of LCD televisions to fall. Holding everything else constant, how would this affect the market for Blu-ray players (a complement to LCD televisions)?
 
  A) The demand for Blu-ray players would increase and the equilibrium price of Blu-ray players would decrease.
  B) The demand for Blu-ray players would decrease because consumers could afford to buy fewer LCD televisions and Blu-ray players.
  C) The demand for Blu-ray players would increase and the equilibrium price of Blu-ray players would increase.
  D) The supply of Blu-ray players would increase and the equilibrium price of Blu-ray players would decrease.

Question 2

Why was the recovery from the 20082009 recession so slow?
 
  What will be an ideal response?

[CourtneyCNorton]

Answer to Question 1

C

Answer to Question 2

The recovery from the recession has been slow because investment has not rebounded. Investment has remained low because of uncertainty about the future.

[mckennatimberlake]

Thanks for the timely response, appreciate it

[emsimon14]

Great answer, keep it coming