Suppose that for a particular firm the only variable input into the production process is labor and that output equals zero when
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When there is a decrease in supply, it would be reflected by a change from Curve A to Curve C.
<h3>How are supply decreases reflected?</h3>When supply decreases, it leads to the supply curve shifting to the left to show that there is a lesser quantity available.
In the graph therefore, a decrease in supply would be shown as a shift from Curve A to Curve C or Curve B to Curve A.
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