An improvement in a firm's technology that reduces its production costs will result in a(n):

Question

Quizplus · Accepted Answer

An improvement in a firm's technology that reduces its production costs will result in lower costs to produce each unit of output, which in turn will result in an increase in the quantity supplied at any given price. This increase in quantity supplied will shift the supply curve to the right. Therefore, all of the above statements are true.

An Improvement in a Firm's Technology That Reduces Its Production