Which of the following is NOT considered a determinant of supply in microeconomics?

• A. Input prices
• B. Number of sellers
• C. Consumer income
• D. Technology

Answer: (C)

Verified step by step guidance

1. Step 1: Understand what a determinant of supply is. Determinants of supply are factors that cause the supply curve to shift either to the right (increase in supply) or to the left (decrease in supply). These factors affect the quantity of a good or service that producers are willing and able to sell at various prices.
2. Step 2: Review the common determinants of supply. These typically include input prices (costs of production), technology (which can make production more efficient), the number of sellers in the market, expectations about future prices, and government policies such as taxes or subsidies.
3. Step 3: Analyze each option given in the problem: Input prices affect production costs and thus supply; Number of sellers affects total market supply; Technology affects production efficiency and supply; Consumer income, however, affects demand rather than supply because it influences consumers' purchasing power.
4. Step 4: Conclude that consumer income is NOT a determinant of supply because it does not directly affect producers' willingness or ability to supply goods, but rather affects the demand side of the market.
5. Step 5: Summarize that the correct answer is consumer income, as it is a determinant of demand, not supply.