Which of the Following Would Shift the Supply Curve of a Good

question 116

Multiple Choice

Which of the following would shift the supply curve of a good to the left?

• A)An increase in the price of that good
• B)A decrease in the price of an alternative good
• C)An improvement in technology used in producing the good
• D)An increase in the cost of an important resource used to produce the good
• E)An increase in the number of producers of the good

---

Definitions:

Marginal Cost

The additional expense required to produce or supply one extra unit of a product.

Fixed Costs

Costs that do not vary with the level of production or sales, such as rent, salaries, and loan payments.

Profit Maximization

A financial strategy aimed at achieving the highest possible profit level for a business by adjusting output levels, pricing, or reducing costs.

Marginal Social Cost

The incremental cost borne by society due to the production of an extra unit of a good or service.