A-LevelEconomicsThe price system and the microeconomy9708/12 · May/June 2011 · Q81 Mark
In the diagram D and S are the demand and supply curves of a good. What could cause the supply curve to shift in the short run to S₁?
This question uses a diagram from the original paper, which isn't shown here. Open the full paper from the past papers archive to see it.
Achange in consumer preferences
Bdecrease in the price of a complementary good
Cfall in the cost of raw materials
Dgovernment warning that consumption of the good can damage health
✓ Correct answer
C: fall in the cost of raw materials
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