Thursday , November 26 2020
Home / Igcse Economics Revision Notes / Non Price Factors of Supply

Non Price Factors of Supply

Get O/A Levels & IGCSE Solved Topical Past Papers, Notes & Books

Home Delivery all over PAKISTAN at Discounted Prices

There are various factors other than price that change the Supply of a product or service and hence cause a shift in its Supply Curve.

Cost of Production:

Cost of production is the amount of money used in producing a good. It might change due to the changes in the price of any of the factors of production (i.e. raw materials)


Improvement in the Technology:

Use of latest technology in production would improve the productivity and hence cost of production per unit would decrease and producers would be able to supply more of that product.



Tax: a payment given to the government

Indirect tax: tax imposed on goods and services



Subsidy: a payment given by the government, to encourage the production or consumption of a product.

A subsidy given to a producer provides a financial incentive for them to supply more as producers would have more capital to produce.


Weather Conditions:

They affect particularly agricultural products.

If the weather is good around harvest the supply of that crop would be more and vice versa if the weather is bad around harvest the supply of that crop would be less.

Relax your Mind From Studying and WATCH this Beautiful Sun Flower Painting.

SUBSCRIBE to learn How to Paint

About Admin


Leave a Reply