The supply curve for manufactured goods is usually more elastic than for raw materials because production of manufactured goods can often be:
increased at lower cost per unit by building more factories.
decreased at the same cost per unit by building more factories.
increased at higher cost per unit by building more factories.
increased at the same cost per unit by building more factories.
The correct answer is:
increased at lower cost per unit by building more factories.
This is because the production of manufactured goods can often be scaled up more efficiently through the establishment of additional factories, leading to economies of scale. As a result, the supply curve for manufactured goods tends to be more elastic compared to that of raw materials, where production is often constrained by natural availability and extraction processes.