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laser eye surgery graphs

laser eye surgery graphs

Can anyone help me with this supply/demand graph problem?

5.During the late 1990’s many consumers were having their vision problems corrected by laser surgery. An article in the Wall Street Journal in early 2001 noted two developments in the market for laser eye surgery. The first was about increasing concerns related to side effects from the surgery, including blurred vision and, occasionally, blindness. The second development was that the companies renting eye-surgery machinery to doctors had reduced their charges. One large company had cut its charge from $250 per patient to $100. Use a demand and supply graph of laser surgery to illustrate the effects of these two developments on the market for laser eye surgery. In what direction would equilibrium price and quantity change?

increasing concerns mean that demand curve in the market for machine rentals has shifted left, so the equilibrium (intersection of demand and supply) shiften left and down. Left means lower number of rentals, and down means lower price.

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