In order to increase the supply of a good, producers must
A) convince consumers to reduce the quantity demanded.
B) see an increase in quantity supplied by competitors.
C) reduce their per-unit costs of producing the good.
D) cut back on labor to reduce production costs.

Question

Quizplus · Accepted Answer

To increase the supply of a good, producers must find ways to reduce their per-unit costs of producing the good. This can be done by finding more efficient production techniques, investing in new technology, or negotiating better prices for materials and labor. By lowering their costs, producers are able to offer more of the good for sale at a given price, which increases the supply.

In Order to Increase the Supply of a Good, Producers