What does new technology generally do to production? It lowers cost and decreases supply. It lowers cost and increases supply. It has very little effect on production.
What effect does a rise in the cost of machinery of raw materials have on the cost of a good?
With the rise in the cost of machinery or raw materials, the good becomes more expensive to produce. So the correct option for this question is option “c”. The cost of machinery and raw materials are directly proportional to the increase in cost of any goods.
When any effort by government causes the supply of a good to rise what happens to the supply curve for that good?
The product price is shown on the vertical axis on the graph and the quantity supplied is on the horizontal axis. When the government causes the supply of a good to rise, the curve will cause a shift to the right. hope this helps!
What is one reason European governments protect?
Answer Expert Verified. European government protects the growth of food by giving subsidies, in the form of direct payments or tax credits, to the local farmers even though imported food would be a cheaper option for them.
What is the effect of import restrictions on prices?
What is the effects of import restrictions on prices? They cause prices to rise. What do sellers do if they expect the price of goods they have for sales to increase dramatically in the hear future. Store the goods until prices rises.
What happens to a company when marginal cost becomes higher than price?
If marginal cost becomes higher than price, what happens to a company? The company will lose money on each additional unit produced. if the price is expected to increase and then decrease, most sellers will hold onto their supply until the decrease has occurred.
What happened to the price of a good when there is excess demand?
Excess demand will cause the price to rise, and as price rises producers are willing to sell more, thereby increasing output. 1. A change in supply will cause equilibrium price and output to change inopposite directions.
What is one reason the government regulates car production?
What is one reason the U.S. government regulates car manufacturing? increasing computer production.
