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AP MicroeconomicsSupply & Demand

Determinants of Supply

Determinants of supply are factors that shift the supply curve, changing the quantity supplied at each price.

The main determinants of supply are technology, input costs, government policies, and expectations. When these factors change, the supply curve shifts to the right or left. For example, if a new technology makes production more efficient, supply will shift to the right, indicating an increase in supply at each price level.

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