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What is the impact of a tax on the supply of gasoline?
Decreases the supply of gasoline, leading to higher prices and lower quantity.
What is the impact of a subsidy on the supply of renewable energy?
Increases the supply of renewable energy, leading to lower prices and higher quantity.
How does a minimum wage impact the supply of labor?
It does not directly affect the supply of labor, but it can affect the quantity of labor supplied.
How does a carbon tax affect the supply of goods and services with high carbon emissions?
It decreases the supply of goods and services with high carbon emissions.
How does a government regulation requiring safer working conditions affect supply?
It likely decreases supply due to increased production costs.
How does a policy that increases access to education and training affect the future supply of skilled labor?
It increases the future supply of skilled labor.
What is the effect of rent control on the supply of apartments?
Rent control typically decreases the supply of apartments.
How does a tariff on imported steel affect the supply of steel in the domestic market?
It decreases the supply of steel in the domestic market.
How does a policy promoting free trade affect the overall supply of goods and services in a country?
It increases the overall supply of goods and services.
What is the impact of a price ceiling on the supply of a product?
A price ceiling can lead to a decrease in the quantity supplied, as producers may find it unprofitable to sell at the mandated low price.
How does increased labor cost affect the supply of cars?
Increased labor costs increase production costs, decreasing the supply of cars (shifts left).
How does a new robot in a factory affect the supply curve?
A new robot (improved technology) increases productivity, increasing supply (shifts right).
How does a tax on cigarettes affect the supply of cigarettes?
A tax increases production costs, decreasing the supply of cigarettes (shifts left).
How does a subsidy to electric car manufacturers affect the supply of electric cars?
A subsidy lowers production costs, increasing the supply of electric cars (shifts right).
If coffee bean farmers expect prices to rise next month, how might this affect the coffee supply today?
Farmers may decrease supply now to sell more at higher prices later (shifts left).
How does an increase in the number of wheat farmers affect the supply of wheat?
More farmers mean more supply, increasing the supply of wheat (shifts right).
A new regulation increases the cost of producing paper. How is the supply of paper affected?
The supply of paper decreases, shifting the supply curve to the left.
A fishing boat is able to catch more fish due to new equipment. How is the supply of fish affected?
The supply of fish increases, shifting the supply curve to the right.
The government imposes a tax on sugar. How does the supply of candy change?
The supply of candy decreases, shifting the supply curve to the left.
The government provides a subsidy to producers of solar panels. How does the supply of solar panels change?
The supply of solar panels increases, shifting the supply curve to the right.
What is the difference between a 'change in supply' and a 'change in quantity supplied'?
A 'change in supply' is a shift of the entire curve due to determinants, while a 'change in quantity supplied' is a movement along the curve due to a price change.
Compare the effects of a tax and a subsidy on the supply curve.
A tax shifts the supply curve left (decreases supply), while a subsidy shifts it right (increases supply).
How do expectations of future prices affect supply vs. demand?
Expectations of higher future prices decrease current supply but increase current demand.
Differentiate between supply and demand.
Supply represents the quantity producers are willing to sell, while demand represents the quantity consumers are willing to buy.
How is a change in resource costs different from a change in technology?
A change in resource costs affects the expense of production, while a change in technology affects the efficiency of production.
How does the number of sellers affect supply compared to the size of each seller?
The number of sellers directly shifts the supply curve, while the size of each seller affects the magnitude of that shift.
What is the difference between a price floor and a price ceiling?
A price floor is a minimum price set by the government, while a price ceiling is a maximum price.
How do direct taxes differ from indirect taxes in their effect on supply?
Direct taxes (e.g., income tax) have a less direct effect on supply than indirect taxes (e.g., sales tax).
How does the elasticity of supply differ from the slope of the supply curve?
Elasticity is the responsiveness of quantity supplied to a change in price, while the slope is the rate of change of price with respect to quantity.
Compare the short-run and long-run effects of a technological advancement on supply.
In the short-run, supply increases. In the long-run, supply may increase further as more firms adopt the technology.