Economics 14-15

Question 1

market supply curve shows…

Answer 1

quantity supplied at each price

Question 2

input prices

Answer 2

inputs= any of the things that suppliers have to purchase to supply a product
ex: price that gas stations must pay their suppliers for doing business. if this price falls, then the quantity of gas supplied will increase, causing the curve to shift right

Question 3

important inputs

Answer 3

labor costs, real estate costs, utilities
if any of these increase in price, it will decrease the quantity supplied at every price causing the supply curve to shift to the left

Question 4

technology

Answer 4

changes in tech can affect how businesses operate and hence the quantity supplied

Question 5

expectations

Answer 5

if suppliers expect prices to rise in the future, they may reduce the quantity they will supply today

Question 6

number of sellers

Answer 6

as more sellers enter the market, the quantity supplied will increase. if a seller decides to leave the market then quantity supplied will be reduced