A decrease in supply of good X means:
A)a shift to the left of the entire supply curve for good X.
B)a movement down the supply curve as prices of good X go down.
C)that less of good X will be demanded at every price.
D)that more of good X will be supplied at every price.

Question

Quizplus · Accepted Answer

A decrease in supply means that there is less of the good available at every price level. This is represented by a shift to the left of the entire supply curve, as the quantity supplied at each price level will be lower than before.

A Decrease in Supply of Good X Means