1. what happens to the equilibirium price&quatity in each market?

Question

Pharmaceutical drugs have an inelastic demand, and computers have an elastic demand. Suppose that technological advance doubles the supply of both products (that is, the quantity supplied at each price is twice what it was).

Answer 1

inelastic means people buy the nearly same amount regardless of the price (steep demand curve)
elastic means people buy more when the price is less (shallow demand curve)

supply increases, which moves the entire supply curve to the right.

For the inelastic drugs, the quantity bought increases a little and the price decreases a lot.
For the elastic computers, the price goes down a little and the quantity goes up a lot.

It's easier to see if you draw a graph.