Principles of Microeconomics / Unit 2 MIC 0114 short lesson, about 20 seconds
What Shifts Supply
Captions available
The idea
Supply shifts through the cost of production: input prices, technology, natural conditions, and government taxes, regulations and subsidies. Higher cost shifts supply left; lower cost shifts it right.
In practice
A cheaper fertilizer raises the coffee supplied at every price.
Where people slip
A leftward shift of supply is also an upward one: each unit now costs more to bring to market.
Your place on the trail
Every lesson rests on earlier ones and opens later ones. Tap any to jump.
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