Suppose that there is an decrease in input prices for the manufacture of cameras. We would expect the supply of cameras to:

Question

Quizplus · Accepted Answer

A decrease in input prices means that the cost of producing cameras has decreased for the manufacturers. This will encourage them to produce more cameras because they can now produce them at a lower cost. As a result, the supply of cameras will increase. Therefore, option A is the correct choice.

Suppose That There Is an Decrease in Input Prices for the Manufacture