Question

When producers' costs decrease, there will be _______ product (shift right) at each price brought to the market.

Answer 1

The correct answer is more.

Step-by-step explanation:

In the production process, a number of inputs are used to make a good or service. The cost incurred on these inputs is called the cost of production.

In case there is a decline in the cost of production or producer's cost this means that the producer can produce more output by incurring the same cost level. This will cause a rightward shift in the supply curve. At each price level, more output than earlier will be supplied.