Asked by Story Kremin on Jul 18, 2024
Verified
The introduction of a new cost effective production technique is likely to:
A) shift the demand curve leftward.
B) make the demand curve flatter.
C) shift the supply curve leftward.
D) make the supply curve steeper.
E) shift the supply curve rightward.
Production Technique
A method or process employed in the transformation of raw materials, components, or parts into finished goods ready for the market or subsequent processing.
Demand Curve
A graphical representation showing the relationship between the price of a good and the quantity of the good that consumers are willing and able to purchase at each price level.
- Learn about the determinants behind alterations in supply curves.
- Evaluate how technological innovations influence supply.
Verified Answer
KA
Keyshawn AdamsJul 24, 2024
Final Answer :
E
Explanation :
The introduction of a new cost-effective production technique will lead to a decrease in production costs, which will allow producers to supply more output at every price level. This will shift the supply curve to the right.
Learning Objectives
- Learn about the determinants behind alterations in supply curves.
- Evaluate how technological innovations influence supply.