Question

Which of these would have a negatively impact on the supply of mechanical pencils?

A)
An increase in employee productivity.
The increase in the cost of resources.
The company purchased faster technology.
D)
Receiving a government subsidy to cover cost of production

Answer 1

the increase in the cost of resources

Step-by-step explanation:

there are many different products that go into making a mechanical pencils, so an increase in those costs would likely drive many people to purchase wooden pencils instead. Providing people actually still purchase such things.

Answer 2

"The increase in the cost of resources” is the correct answer.

Step-by-step explanation:

The negative impact refers to the situation when the supply of mechanical pencils decreases while if the supply of mechanical pencil increases then it is termed as a positive impact. However, if the cost of raw materials ( say resources) will increase then it will be costly to produce mechanical pencils. Consequently, the producer will decrease their production and therefore the supply will fall.