Suppose that McDonald's successfully implements self-serve kiosks in their restaurants, which allows the company to reduce the number of employees at each location.All else equal, this technological improvement would
A)shift the supply curve for its products to the right.
B)shift the supply curve for its products to the left.
C)shift the demand curve for its products to the right.
D)shift the demand curve for its products to the left.

Question

Quizplus · Accepted Answer

The implementation of self-serve kiosks reduces labor costs, which decreases production costs, leading to an increase in supply, thus shifting the supply curve to the right.

Suppose That McDonald's Successfully Implements Self-Serve Kiosks in Their Restaurants