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Question
which of these would have a negative impact on the supply of mechanical pencils? a an increase in employee productivity. b the increase in the cost of resources. c the company purchased faster technology. d receiving a government subsidy to cover cost of production
An increase in the cost of resources makes production more expensive, reducing the incentive to produce and thus decreasing supply. Increased employee productivity and faster - technology increase supply. A government subsidy also helps increase production and supply.
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B. The increase in the cost of resources.