A Level Economics (9708)•9708/12/O/N/23

Explanation
Supply Shifts from Production Changes, Not Price Adjustments
Steps:
- Poor harvests reduce fruit output, lowering available quantity at each price.
- This decreases fruit supply, shifting its curve left.
- Furniture discounts lower prices to boost sales volume.
- Discounts cause movement along the existing furniture supply curve, not a shift.
Why B is correct:
- Harvest failures cut fruit production costs or inputs, shifting supply left (law of supply: non-price factors like natural events alter curve position); discounts are price changes, moving along the curve without shifting it.
Why the others are wrong:
- A: Discounts do not reduce furniture supply to shift left.
- C: Discounts fail to shift furniture supply left.
- D: Harvests reduce, not increase, fruit supply.
Final answer: B
Topic: Demand and supply curves
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