When input prices rise and increase the cost of production, the

Name: When input prices rise and increase the cost of production, the
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Question

Quizplus · Accepted Answer

When input prices rise and increase the cost of production, it becomes less profitable for suppliers to produce goods at each quantity. This leads to a decrease in the quantity supplied at each price level, which is represented by a leftward shift of the supply curve. Therefore, the correct answer is D - supply curve shifts leftward.

When Input Prices Rise and Increase the Cost of Production