6 Supply Shifter Factors
1. Number of Sellers: the amount of businesses that provide a product to the market
2. Technology: new inventions make production easier
3. Resource Prices: includes everything from labor to resources to cost of shipping
4.Taxes and Subsidies: Taxes make supply decrease and subsidies make supply increase. Taxes decrease supply because it costs the company more to produce the product. Subsidies increase supply because the government gives money to the company in order to make cost of production less.
5. Expectations of Producers: what sellers think will happen in the market
6. Prices of Other Goods the Firm Could Produce: sometimes it is cheaper to produce another product than it is to produce the one that you currently are producing
2. Technology: new inventions make production easier
3. Resource Prices: includes everything from labor to resources to cost of shipping
4.Taxes and Subsidies: Taxes make supply decrease and subsidies make supply increase. Taxes decrease supply because it costs the company more to produce the product. Subsidies increase supply because the government gives money to the company in order to make cost of production less.
5. Expectations of Producers: what sellers think will happen in the market
6. Prices of Other Goods the Firm Could Produce: sometimes it is cheaper to produce another product than it is to produce the one that you currently are producing