Recently it has been discovered that lobsters grown on lobster farms can feed on algae, which is a cheaper lobster food. As a result of this discovery,
a. the supply curve for lobster will shift to the left
b. the supply curve for lobster will shift to the right
c. there will be an increase in the quantity of lobsters supplied
d. there will be a decrease in the quantity of lobsters supplied
e. both supply and demand curves will shift to the right
Question 2
If the price of labor increases, employers will hire more labor because it is more valuable.
a. True
b. False
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