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Give Two Reasons Why the Long-Run Industry Supply Curve May

question 28

Essay

Give two reasons why the long-run industry supply curve may slope upward. Use an example to demonstrate your reasons.


Definitions:

Price Of Potatoes

The cost at which potatoes are sold in the market, which can vary based on factors such as quality, supply, and demand.

Horizontal Axis

In a graph, the x-axis along which numerical values are plotted, typically representing a variable like time or quantity.

Budget Line

A graphical representation of all the possible combinations of two goods that can be purchased with a given income and prices.

Income Decreases

A situation where an individual's, household's, or country's income lowers over a period.

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