Gov pop quiz

Government Intervention

The ways in which the government can influence costs and supply through policies.

Subsidies

Government payment to support a business or market.

Taxes

Government levies that can increase or lower costs for businesses.

Regulation

Imposed rules that can increase costs for businesses.

Factors Affecting Supply

Elements that influence the quantity of goods supplied in the market.

Number of sellers

A factor where more sellers in the market leads to greater supply.

Expectations

Predictions regarding whether the economy will grow or weaken.

Technology

Advancements that can lower production costs.

Input prices

Cost of resources needed for production; if they rise, supply decreases as profits fall.