In a competitive market, if there is a significant improvement in technology that allows producers to create goods at a lower cost, how is the supply curve affected, and what is the expected impact on consumer prices?

When technology improves, producers can make each unit for less money, so the whole supply curve moves to the right. This means at every price level, producers are willing to sell more goods. With more goods available, the market price falls because the extra supply pushes prices down. For example, if a factory learns a cheaper steel process, it can produce more cars for the same cost, so car prices drop for consumers. Thus, a supply shift to the right lowers consumer prices.