Question

question 6
1 pts
an increase in input prices will shift the...

demand curve to the right

demand curve to the left

supply curve to the right

supply curve to the left

Explanation:

To solve this, we analyze the impact of input price changes on supply/demand. Input prices (like raw materials, labor costs) affect production costs. An increase in input prices raises production costs for firms. For the supply curve: when production costs increase, at each price level, firms are willing to supply less (since it's more expensive to produce). This shifts the supply curve to the left (a decrease in supply). For the demand curve: input prices don't directly affect demand (demand is about consumers' willingness to buy, influenced by factors like income, preferences, prices of related goods, etc.). So options about demand curve shifts are incorrect. The option "supply curve to the right" is wrong because higher costs reduce supply, not increase it. Thus, the correct answer is the one about the supply curve shifting left.

Answer:

D. supply curve to the left (assuming the options are labeled A - D as: A. demand curve to the right, B. demand curve to the left, C. supply curve to the right, D. supply curve to the left)