Suppose in the market for iPhones, the following two changes take place: (1) the cost of making iPhones falls and (2) the price of smart-phone data plans fall. What happens to the equilibrium price and the equilibrium quantity?

Changes in equilibrium price cannot be predicted.

Equilibrium quantity would rise

Explanation:

If the cost of production of iphone falls, iPhones become cheaper to produce, therefore supply increases and the supply curve shifts to the right. As a result, Price falls and quantity increases.

If the cost of data plans falls, the demand for iPhone would increase. Data plans and iPhones can be seen as complement goods. The increase in demand would shift the demand curve to the right, price would increase and quantity would rise.

Taking these two effects together, equilibrium quantity would increase but the impact on equilibrium price cannot be determined because the changes in supply and demand have oppoosiing effect on price ( changes in supply reduces price while change in demand increases price)

I hope my answer helps you

answer; according to the ( irs );