Maria runs a small business producing bandanas. Recently, the cost of fabric, a key input, has significantly decreased. How is this likely to affect the supply of bandanas in the market and Maria's total benefit?

When the cost of fabric decreases, it becomes cheaper for Maria to produce bandanas. This lower cost allows her to make more bandanas without spending as much money, which means she can increase the supply of bandanas in the market. As she produces more, she can also lower her prices or keep them the same while making more profit. For example, if she used to spend $5 on fabric for each bandana and now only spends $3, she can produce the same number of bandanas but with higher earnings. Overall, the decrease in fabric costs is likely to benefit Maria by increasing her supply and total profit.