Question

How do falling prices of productive resources affect supply?

Answer 1

As the price of a resource increases, the quantity demanded of that resource will decline

Answer 2

It increases supply

Step-by-step explanation:

If productive tools becomes cheap to acquire, more goods would definitely be produced and henceforth increase in supply by the producer.

For example, if the cost of operating machinery falls, a producer would be able to acquire more of those equipment. With more tools on deck, production would scale up and supply of such goods would generally pump.