Answer:
Five factors that may cause a shift in a good’s supply curve is discussed below in details.
Explanation:
Five factors that may cause a shift in a good’s supply curve are such as:
- Improvement in technology leading to a fall in the cost of production.
- Reduction in factor costs creating a reduction in the factor of production.
- Increase in the number of firms in the Industry. It causes an increase in market supply even when the price of the commodity remains the same.
- The decrease in the cost of competing for merchandise. it promotes the producer to trade more at the current prices.
- The decrease in taxation increases sales due to decreases in the cost of production.
