Question

Which of the following will decrease the supply of laptop computers?

A.The cost of plastic (an input for the production of laptop computers) rises.
B. The government removes a subsidy for the manufacture of laptop computers.
C. The number of sellers increases.
D. The price of laptop computers rises.
E. A less efficient manufacturing technology for constructing laptop computers is used.

Answer 1

D. The price of laptop computers rises.

Step-by-step explanation:

The question asks about factors that would decrease the supply of laptop computers. This can be understood within the concept of supply and demand in economics.

An increase in the cost of inputs (plastics), removal of a subsidy, or introduction of less efficient manufacturing technology can lead to a decrease in supply. On the other hand, an increase in the number of sellers typically increases supply, while an increase in price is a reaction to shifts in supply and demand, not a cause of supply changes.

• Options A (rising cost of plastic), B (removal of government subsidy), and E (use of less efficient manufacturing technology) could lead to a decrease in the supply of laptop computers. Option C would typically increase supply, and option D is a result of changes in supply and demand.

Therefore, options A, B, and E are factors that could decrease the supply of laptop computers.