The graph to the right illustrates an
increase
in supply or a
shift out
in supply. If the cost of a
factor of production
falls this will reduce the opportunity cost of production and cause
desired quantity supplied
to increase at every price.
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The graph to the right illustrates an increase in supply or
a shift out in supply. If the cost of a factor of production falls this will reduce the opportunity cost of production and
cause desired quantity supplied to increase at every price.