Some Producers Are Chatting

question 49

Multiple Choice

Some producers are chatting.Which one of the following quotations refers to a rightward shift of the supply curve?

• A)"Wage increases have forced us to raise our prices."
• B)"Our new,sophisticated equipment will enable us to undercut our competitors."
• C)"Raw material prices have sky-rocketed;we will have to pass the cost on to our customers."
• D)"We anticipate a big increase in demand.Our product price should rise,so we are planning for an increase in output."
• E)"Competitors are leaving the industry."

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