An increase in the price of an input will cause the
A) quantity supplied to decrease.
B) demand to decrease.
C) supply to decrease.
D) quantity supplied to increase.
E) demand to increasE.

Question

Quizplus · Accepted Answer

An increase in the price of an input will cause the supply to decrease. This is because it becomes more expensive to produce the good or service, so producers are less willing to supply it at the same price.

An Increase in the Price of an Input Will Cause