Answered

Discover a wealth of knowledge at Westonci.ca, where experts provide answers to your most pressing questions. Join our platform to connect with experts ready to provide detailed answers to your questions in various areas. Our platform provides a seamless experience for finding reliable answers from a network of experienced professionals.

If the price of foam blanks used in surfboard production falls, what will happen in the market for surfboards?
There will be no change in the market for surfboards.
The supply of surfboards will rise, putting downward pressure on price.
The supply of surfboards will fall, putting upward pressure on price.
The demand for surfboards will rise, putting upward pressure on price.
Explain your reasoning:
P.S.: the answer is B, I just need a reason for why it’s B

Sagot :

khatrisandhya072

Answer:

If the price of foam blanks used in surfboard production falls,what will happen in the market for surfboards?The supply of surfboard will rise, putting download pressure on price.

huynhthiendy

Answer:

The supply of surfboards will rise, putting downward pressure on price.

Explanation:

One of the determinants of supply is input costs. If input prices fall, costs of production fall, and the quantity supplied of a product at each price will rise. Thus, the supply curve for surfboards will shift to the right. Given a downward-sloping demand curve, price will fall.

Visit us again for up-to-date and reliable answers. We're always ready to assist you with your informational needs. We appreciate your time. Please revisit us for more reliable answers to any questions you may have. Thank you for visiting Westonci.ca. Stay informed by coming back for more detailed answers.