WAEC Economics 2016 Objective — Question 14

Question 14 of 50 from the West African Examinations Council (WAEC) Economics 2016 Objective paper, with the correct answer and a full explanation.

14. How does producers' expectation of a price fall affect the supply curve of a product? There will be (a) a movement along the curve (b) a leftward shift (c) no shift of the supply curve (d) a shift to the right

A. a movement along the curve
B. a leftward shiftCorrect
C. no shift of the supply curve
D. a shift to the right

Explanation

Producer's expectation of price fall will cause the supply curve to shift from S0S0 to S1S1. This will result in a decrease in quantity supplied.

Sign up free to unlock

Score tracking
Practice history
Saved questions
Progress dashboard
Personalized sessions
Weak-topic breakdown

…and/or go further with premium services and No Ads.

Create free account

More questions from Economics 2016 Objective More Economics past papers