Exam Style Question for Microeconomics- Supply Paper 1
Question
Explain two factors which could shift a firm’s supply curve to the left.
▶️Answer/Explanation
Answers may include:
definition of supply, supply curve
diagram to show a shift in supply to the left
explanation of two of: increases in the costs of factors of production; increases in prices of related goods; increased indirect taxes; other factors such as: changes in regulations, objectives of the business, the weather, labour disputes, etc