A different type of a good is a perishable good such

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Unformatted text preview: change in the quality of a house. A different type of a good is a perishable good, such as eggs. If the egg seller believes that the future price will be higher than the current price of eggs, he may want to hold his eggs off the market today and sell them later. He can’t really do that, though, because eggs spoil if kept too long. EXAMPLE: Weather (in Some Cases) Weather can affect the supply of a good. Bad weather reduces the supply of many agricultural goods, such as corn, wheat, and barley. Unusually good weather can increase the supply. Weather can also impact the supply of non-agricultural products, as happens when hurricanes damage fishing boats, shipping docks, and coastal oil refineries. 05 (110-127) EMC Chap 05 11/17/05 4:51 PM Page 121 What Factor Causes a Change in Quantity Supplied? Supply Goes Up, or Down? We identified the factors (resource prices, technology, etc.) that can cause supply to change. As we stated earlier, a change in supply is represented as a shift in the supply curve. The curv...
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This document was uploaded on 01/16/2014.

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