All of the following will cause a shift in the supply of smartphones EXCEPT
A)a decrease in the prices of smartphones.
B)an increase in the cost of producing smartphones.
C)a per-unit government subsidy on the production of smartphones.
D)a decrease in the number of smartphone manufacturers.

Question

Quizplus · Accepted Answer

A decrease in the price of smartphones will not cause a shift in supply, as it is a movement along the supply curve caused by a change in the price of the product itself. The other options listed all involve external factors that will cause the entire supply curve to shift left or right.

All of the Following Will Cause a Shift in the Supply