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Which factor is assumed to remain unchanged under the Law of Supply?

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Question

Which factor is assumed to remain unchanged under the Law of Supply?

Options

  • Government policies change frequently

  • Technology used in production is constant

  • Costs of production increase

  • Prices of related goods decrease

MCQ
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Solution

Technology used in production is constant

Explanation:

The law assumes technology does not change while analysing the price-supply relationship.​

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