Question

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Answer 1

Question 13

Following factors cause a decrease in the supply of a product -

1. Increase in the price of other goods.

2. Increase in the cost of production or the cost of inputs used.

3. Degradation of technology.

4. Increase in business taxes

5. Decrease in subsidies.

So,

A decrease in the supply of a product would most likely be caused by an increase in the business taxes.

Hence, the correct answer is the option (a).