Explain how the following situations will affect the demand curve for I-pads.

(I-Pads are a normal good.) (3 points each) (a) Family income decreased by 5 percent over the last year due to an economic recession.

Circle one of the following and in one sentence indicate why you picked the answer you did. + - No change (b) Believing that it has signi?cant control of the market for tablets, Apple decides to raise the price of I-watches with the goal of increasing pro?ts. Circle one of the following and in one sentence indicate why you picked the answer you did. + - No change