Graphically show the effect of an increase in the cost of the tomato sauce on the equilibrium price and output in the market for pizza.

The following graph shows the supply curve for sedans in an imaginary market. For simplicity, assume that all sedans are identical and sell for the same price. Two factors that affect the supply of sedans are the level of technical knowledge—in this case, the speed with which manufacturing robots can fasten bolts, or robot speed—and the wage rate that auto manufacturers must pay their employees. Initially, the graph shows the supply curve when robots can fasten 2,500 bolts per hour and autoworkers earn $25 per hour. Suppose that the price of a sedan increases from $21,000 to $26,000. This would cause the quantity supplied of sedans to ________ (options: increase, decrease) , which is reflected on the graph by a ________ (options: shift of, movement along) the supply curve.  Suppose the workers' union negotiates a pay raise. This causes a _________ (options: leftward movement along, rightward movement along, leftward shift of, rightward shift of) the supply curve because the pay raise…

Identify and explain the various factors that can cause a shift in the supply curve for a specific product or industry. Discuss the short-term and long-term implications of these shifts on market equilibrium and pricing.

A demand curve shows the relationship between price and _________________ on a graph. quantity demanded     quantity produced     economies of scale     costs