Other things equal, if the price of a key resource used to produce product X falls, the

Name: Other things equal, if the price of a key resource used to produce product X falls, the
Brand: Quizplus
Rating: 4.9 (48 reviews)

Question

Quizplus · Accepted Answer

A decrease in the price of a key resource used in the production of product X will decrease the cost of production. This means that producers can produce more of the product at each price, causing a rightward shift in the supply curve. Therefore, the correct answer is A.

Other Things Equal, If the Price of a Key Resource