An increase in the price of yeast is an increase in the cost
of one of the inputs into making beer. This will decrease the
supply at every price, shown as a shift back and to the left of
the supply curve. Equilibrium price rises to P2 and equilibrium quantity falls to Q2.
An increase in the price of yeast is an increase in the cost
of one of the inputs into making beer. This will decrease the
supply at every price, shown as a shift back and to the left of
the supply curve. Equilibrium price rises to