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  1. Increasing opportunity costs.
  2. Increasing marginal costs.
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9y ago

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Related Questions

Does a change in producers' technology lead to a movement along the supply curve or shift in the supply curve?

just lead to a shift in the supply curve.


Does a change in producers' technology lead to a movement along the supply curve or a shift in the supply curve?

Changes in a producer's technology can lead to a SHIFT in the supply curve.


Is An increase in supply is represented by a movement up the supply curve?

An increase in the supply is not represented by a movement up the supply cuve. A movement up supply curve is due to the increase in quantity supplied instead of the increase in supply. Alternatively, it can also be due to increase in the price of the goods that could lead to movement up the supply curve.


Aggregate supply curve is perfectly inelastic an increase in agregate demand will lead to?

Inflation.


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An increase in purchasing power as market price decreases.Diminishing marginal utility.


What If supply shifts to the left and demand remains constant?

ceteris paribus this would lead to the equilibrium production decreasing, with the price effect depending on the characteristics of the supply relation.


Why would an expansionary gap lead to a change in inflation Why would a recessionary gap lead to a change in inflation?

Assuming that the aggregate demand curve does not move, the only way for the gap to be closed is by a shift in aggregate supply. These gaps cause a change in inflation expectations, moving the AS curve left (exp) or right (rec) back to long term equilibrium and changing the inflation rate.


Does a change in consumers' tastes lead to a movement along the demand curve or a shift in the demand curve?

A change in consumer's tastes leads to a shift in the demand curve. A change in price leads to a movement along the demand curve.


Does the change in consumer tastes lead to a movement along the demand curve or a shift in the demand curve?

A change in consumer's tastes leads to a shift in the demand curve. A change in price leads to a movement along the demand curve.


How do you get photos off my blackberry curve on to my PC?

by putting you lead that you get with your Phone in to your computer


Why doesn't price shift the curve in economic analysis?

In economic analysis, price doesn't shift the curve because the curve represents the relationship between two variables, such as quantity and demand, while price is a result of that relationship. Changes in price lead to movements along the curve, not shifts of the curve itself.


How are prices determined in a well functioning economy?

By simple supply and demand theory. The more demand, or the less supply, will lead to higher prices. The less demand, or more supply, will lead to lower prices.