Which of the following would cause a decrease in the supply of peanut butter?
A)a decrease in the price of jelly (assuming that peanut butter and jelly are complements)
B)a decrease in the price of peanut butter
C)an increase the price of peanuts
D)an increase in the technology used to produce peanut butter

Question

Quizplus · Accepted Answer

An increase in the price of peanuts would increase the cost of producing peanut butter, which would lead to a decrease in the supply of peanut butter.

Which of the Following Would Cause a Decrease in the Supply