Technological Progress Increases the Efficiency of Mass Producing HDTV-Capable Television

Multiple Choice

Technological progress increases the efficiency of mass producing HDTV-capable television sets. At the same time, more cable and television networks begin broadcasting in HDTV format, increasing the appeal of HDTV-capable television sets. On the basis of this information, what can be said about conditions in the HDTV market?

A) The equilibrium quantity of HDTV-capable sets will decrease and price will increase.
B) The equilibrium quantity of HDTV-capable sets will increase and what happens to price is indeterminate.
C) The equilibrium quantity of HDTV-capable sets will increase and price will decrease.
D) The equilibrium quantity and price of HDTV-capable sets will increase.