Which of the following will cause a movement along a good's supply curve?

Question

Quizplus · Accepted Answer

A movement along the supply curve of a good is caused by a change in its own price. When the price of the good increases, suppliers are willing to produce more of it to earn higher profits, resulting in a movement upward along the supply curve.

Answer: A 
 A change in the price of an input used in the production of a good affects the production cost and thus the supply of the good. If the price of an input increase, the marginal cost of producing the good increases and the quantity of the good that producers are willing to supply decreases, leading to a movement upward along the supply curve.

Answer: E
 A subsidy is a payment made by the government to firms to encourage production and reduce production costs. When a subsidy is given to a producer, they can reduce their cost of production; therefore, they are willing to supply more quantity of the good at any given price. This leads to a shift in the supply curve to the right, which results in a movement along the demand curve.

Which of the Following Will Cause a Movement Along a Good's