Factors affecting Supply curve shifts other than own price of a commodity

  1. Production costs – a function of factor prices.
  2. Technology
  3. Government policy (taxes & subsidies)
  4. Natural factors/events (e.g weather, pests, diseases etc)
  5. Prices of other related goods (substitutes & complements)
  6. Transport and communication
  7. Political stability/atmosphere
  8. Future expectations
  9. Changes in the supply of the product with which the product in question is in joint supply e.g beef & hides; petrol & paraffin.
  10. Changes in the goals of a firm
  11. Ease of entry
  12. Time

(Visited 32 times, 1 visits today)
Share this:

Leave a Reply