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MAVERICK [17]
3 years ago
9

If a firm has an incentive to increase supply now and decrease supply in the future, then the firm expects that the

Business
1 answer:
blondinia [14]3 years ago
3 0
<span>If a firm has an incentive to increase supply now and decrease supply in the future, then the firm expects that the prices for the firm's product will be lower than the prices that have been set in the present. In the present case as the supply is increased, the prices are higher as the demand is higher. Then at later point of time when the supply is decreased, then demand also decreased, then the prices are likely to come down.</span>
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