at the time dell employed 7500 people in india and

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Unformatted text preview: roblems with their computers.) At the time, Dell employed 7,500 people in India and planned to hire about 1,500 more. Dell hires Indians to service U.S. customer calls because it is cheaper to hire Indians than Americans. If Dell keeps its costs of building and servicing computers down, how might this affect the supply of Dell computers for sale? ECONOMIC THINKING to 20, or from point A to B. Stated differently, what has to change before a move from A to B will happen? The answer is that the price (on the vertical axis) must increase from $1 to $2. In other words, the only factor that will change the quantity supplied of a good is a change in price: the factor that is on the vertical axis. A Change in Supply Versus a Change in Quantity Supplied S1 S2 S1 A Price Price B 0 Quantity supplied (a) 0 Quantity supplied (b) (a) A change in supply refers to a shift in the supply curve. A change in supply can be brought about by a number of factors. (b) A change in quantity supplied refers to a movement along a giv...
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