Some Producers Are Chatting Over a Beer

Multiple Choice

Some producers are chatting over a beer. Which quotation refers to a movement along a supply curve?

A) "Wage increases have forced us to raise our prices."
B) "Our new, sophisticated equipment will enable us to undercut our competitors."
C) "Raw material prices have sky-rocketed; we will have to pass the cost on to our customers."
D) "We anticipate a big increase in demand. Our product price should rise, so we are planning for an increase in output."
E) "New competitors in the industry are causing prices to fall."