ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -As the government increases the taxes, the profit margin of the product goes down. This, in turn, makes the producer decrease the supply.

Detailed explanation-2: -The supply of a product normally decreases if the cost of inputs goes down. more producers enter the market. the price of the product increases.

Detailed explanation-3: -An increase in price almost always leads to an increase in the quantity supplied of that good or service, while a decrease in price will decrease the quantity supplied.

Detailed explanation-4: -Factors that can shift the supply curve for goods and services, causing a different quantity to be supplied at any given price, include input prices, natural conditions, changes in technology, and government taxes, regulations, or subsidies.

Detailed explanation-5: -A change in the number of sellers in an industry changes the quantity available at each price and thus changes supply. An increase in the number of sellers supplying a good or service shifts the supply curve to the right; a reduction in the number of sellers shifts the supply curve to the left.