Factors that shift supply

cost of resources

A change in the price of something that producers use to make a product will cause a change in the supply of that product

A price ceiling generally results in this

A shortage

A price floor results in this

A surplus

example of how government regulations shift suppy

If a new law was passes which requires fast food workers to wash there hands after every customer they serve the supply of fast food would shift to the left.

expectations

If the price of a good is expected to change in the future the supply will change in the present

example of how expectations shift supply

If there is rain in the forecast the supply of umbrellas would go up

An example of a price floor

Minimum Wage

change in technology

New inventions can increase productivity causing the supply curve to shift to the right

An example of a price ceiling

Rent controlled housing

example of how subsidies shift supply

The government gives money to colleges in order to promote education, this causes the supply of education to shift to the right

subsidies

The government will sometimes offer financial incentives to companies that produce a specific type of product, which in turn affects the supply of that product.

example of how a change in technology shifts supply

The invention of the printing press caused the supply of books to increase

government regulations

creates more strict manufacturing atmospheres or requires producers to make their items to reflect new laws put in place

example of how taxes shift supply

if taxes on cotton increase, the supply of t-shirts would decrease and shift to the left if taxes on cotton decrease, the supply would increase because it would be cheaper to produce t-shirts

example of how the cost of resources shift supply

if the cost of leather increases, the supply of leather purses will decrease a decrease in the price of camera lenses would increase the supply of cameras because it would be cheaper to produce them

example of how worker productivity shifts supply

if workers become lazy, supply will shift to the left

worker productivity

the amount of supply for consumers depends on how productive workers are in a company

number of sellers

the amount of supply is determined by how many producers there are

taxes

the increase or decrease in taxes shifts the amount of supply of a product by increasing or decreasing the amount of profit that the producers receive

example of how the number of sellers shift supply

the more places that open that offer ear piercing, the more supply of people who can pierce your ears