Figure 4-15
-Refer to Figure 4-15.Which of the following would cause the supply curve to shift from Supply A to Supply C in the market for beach towels?

Question

Figure 4-15 
-Refer to Figure 4-15.Which of the following would cause the supply curve to shift from Supply A to Supply C in the market for beach towels?

Quizplus · Accepted Answer

A decrease in the price of cotton would decrease the cost of producing beach towels, causing an increase in supply and shifting the supply curve from A to C. A higher supply at any given price would result in a lower equilibrium price and a higher quantity traded. None of the other options would directly impact the supply curve in this way.

Figure 4-15 -Refer to Figure 4-15.Which of the Following Would Cause the Would