Answer to Question #309501 in Microeconomics for Sky

Question

1.     The supply curve will shift to the right if

Answer 1

The supply curve will shift to the right indicating a higher supply if:

1. The production cost is reduced. This can be achieved by reduction in raw materials costs or cheaper labour cost.
2. Introduction of better technologies that makes it cheaper or easier to produce.
3. Other factors that make it easier or cheaper to produce.