hihihihihihihih1996 hihihihihihihih1996
  • 14-04-2019
  • Business
contestada

How do falling prices of productive resources affect supply?

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quasarJose
quasarJose quasarJose
  • 14-04-2019

Answer:

It increases supply

Explanation:

If productive tools becomes cheap to acquire, more goods would definitely be produced and henceforth increase in supply by the producer.

For example, if the cost of operating machinery falls, a producer would be able to acquire more of those equipment.  With more tools on deck, production would scale up and supply of such goods would generally pump.

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jasonrick
jasonrick jasonrick
  • 14-04-2019

As the price of a resource increases, the quantity demanded of that resource will decline

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