Causes of Supply Curve Shifts

The lecture covers the causes of shifts in the supply curve, focusing on cost of production, technological changes, exogenous factors, and government intervention through taxes and subsidies. It explains how each factor can cause inward or outward shifts in the supply curve, using examples like labor costs, fuel efficiency, climate conditions, and taxation types. The lecture aims to equip students with the ability to identify and analyze these shifts diagrammatically.

What are the four main types of causes for shifts in the supply curve?

How do changes in the cost of production affect the supply curve?

Explain how technological changes can lead to shifts in the supply curve.

What are exogenous factors, and how do they influence the supply curve?

Describe the impact of government taxes and subsidies on the supply curve.

What is the difference between direct and indirect taxation?

How does a unit tax affect the supply curve diagrammatically?