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What are the factors that can change supply (i.e., shift the supply curve)?

User Birrel
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Final answer:

Several factors can shift the supply curve in markets for goods and services, such as changes in production costs, technology, and the number of producers.

Step-by-step explanation:

In markets for goods and services, there are several factors that can cause a shift in the supply curve. These include:

  1. Changes in production costs: When the cost of production increases or decreases, it can impact the supply curve. For example, if the cost of raw materials increases, it can lead to a decrease in supply as producers have higher expenses.
  2. Changes in technology: Technological advancements can increase the efficiency of production, leading to an increase in supply. On the other hand, if technology becomes outdated or less efficient, it can decrease supply.
  3. Changes in the number of producers: If more producers enter the market, it can lead to an increase in supply. Conversely, if producers exit the market, it can result in a decrease in supply.

These are just a few examples of the factors that can shift the supply curve in markets for goods and services.

User Wsware
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