Explain the effect of technical progress on the supply of a good.
Or
'Improvement in technology shifts the supply curve towards left'. Defend or refute.
Technological progress leads to reduction in cost of producing output. Price remaining unchanged, less cost means more profit. Thus, it increases supply of the good.
Correct Answer - A,B,D
The reagent which will reduce the hydroxyl-ion concentration sufficiently cause the reaction to proceed from right to left with the consequent precipitation of `Al(OH)_3`.
`[Al(OH)_4]^(-)+NH_4^(+)toAl(OH)_3darr+NH_3+H_2O`
`[Al(OH)_4]^(-)+H^(+)toAl(OH)_3darr +H_2O`...
(b) Production and supply should be increased to achieve economic progress. In economically backward countries, there is shortage of resources, so effeorts should be made to use available resources optimally...
Change in per unit tax raises cost of producing the good. Price remaining unchanged Profits decline. This is his disincentive to producers who supply less.
A subsidy will shift the supply...
Technological progress tends to lower the Marginal and Average Costs of production, because better technology facilitates higher output with the same inputs. Accordingly, producers are willing to supply more at...
This statement is false. Increase in prices of other goods makes their production more profitable for the producer. As a result the firm shifts its resources from production of the...
Movement along the supply curve refers to change in quantity of commodity supplied due to change in price of commodity whereas shift of the supply curve refers to either increase...
The given statement is true to its character. The foreign investments, both Foreign Direct Investment (FDI) and Foreign Institutional Investment (FII), have increased from about US $ 100 million in...
