All of the following shift the supply of watches to the right except ?
Correct answer: B. an increase in the price of watches
- A. an advance in the technology used to manufacture watches
- B. an increase in the price of watches
- C. All of these answers cause an increase in the supply of watches
- D. a decrease in the wage of workers employed to manufacture watches
Explanation
An increase in the price of watches changes quantity supplied through movement along the existing supply curve; it does not shift supply. Better technology and lower wages reduce production costs and shift supply rightward.
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