What will occur if a firm expects that the price of its product will be higher in the future than it is today?

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oIf a firm expects that the priceof its product will be higher in the future, the firm hasan incentive to decrease supply in the present and increase supply in the future.oWhen firms enter a market, the supply curve shifts to the right; when firms exit a market,the supply curve shifts to the left.Change in SupplyoA change in supply refers to a shift in the supply curve.