ECONOMICS
SUPPLY
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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The government has put a ban on all items that are unhealthy. No store can legally sell soda over 24 ounces. The supply of anything over 24 ounces becomes non-existent. What supply factor is this?
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Change in Technology
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Change in Cost of Factors of Production
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Government Action
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None of the above
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Explanation:
Detailed explanation-1: -The law of supply is the relationship between the quantity supplied and the factors which affect it. The most important determinants of supply are technology, the number of suppliers, expectation of suppliers, feedback from consumers, freeze in tax etc.
Detailed explanation-2: -The supply curve can shift based on several factors including changes in production costs (e.g., raw materials and labor costs), technological progress, the level of competition and number of sellers/producers, and the regulatory & tax environment.
There is 1 question to complete.