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Unformatted text preview: A movement along the supply curve is caused by a change in the price of another good. A decrease in price causing a rise in quantity demanded will cause a contraction in the demand curve. Other factors that cause quantity supplied to rise or fall make the supply curve shift. If the supply curve shifts to the left quantity supplied falls. Factors that cause the supply curve to shift include subsidies, indirect taxes, costs of production and income....
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This note was uploaded on 02/08/2012 for the course STA 2021 taught by Professor Xu during the Spring '11 term at FIU.
- Spring '11