A rightward shift in the supply curve for a product could be caused by all of the following except one.Which is the exception?
A)The expectation of suppliers that the future price of the product will increase
B)A decrease in the price of a productive resource used in its manufacture
C)A decrease in the price of a product that is a substitute in production
D)A technological improvement in manufacturing methods for the product

Question

Quizplus · Accepted Answer

The expectation of suppliers that the future price of the product will increase would cause a leftward shift in the supply curve, as suppliers would want to withhold supply and wait for higher prices. The other options all indicate factors that would increase the quantity of the product supplied at any given price, therefore causing a rightward shift in the supply curve.

A Rightward Shift in the Supply Curve for a Product