Micro Unit 2, Question 3- Shifting Supply

The video tutorial explains how supply and demand curves shift, focusing on the factors that cause these shifts. It highlights that a leftward shift indicates a decrease in supply, while a rightward shift indicates an increase. The tutorial also covers the impact of worker wages, productivity, and resource prices on production. Additionally, it outlines five key supply shifters: resource costs, number of producers, technology, taxes and subsidies, and producer expectations.

What does a leftward shift in the supply curve indicate?

• An increase in demand

• No change in supply

• A decrease in supply

• An increase in supply

Which factor would cause a firm to produce fewer pianos at the same price?

• Increase in worker wages

• Decrease in worker wages

• Decrease in productivity

• Increase in demand

What happens to the supply curve if there is an increase in productivity?

• It remains unchanged

• It shifts to the left

• It shifts to the right

• It moves along the curve

Which of the following is a demand shifter rather than a supply shifter?

• Technological advancement

• Increase in the number of producers

• Decrease in resource prices

• Increase in the price of pianos

Which factor is NOT one of the five key supply shifters?

• Resource costs

• Number of producers

• Consumer preferences

• Government subsidies