Which of the following would reduce the supply of microcomputers?

A. a technological improvement that lowers the cost of producing the computers

B. higher wage rates for the workers that assemble the computers

C. a reduction in the price of computer chips used to produce the computers

D. a reduction in the price of computers.

The correct answer is letter "B": higher wage rates for the workers that assemble the computers.

Explanation:

An increase in the wages of the employees assembling microcomputers will decrease the quantity demanded for microcomputer assemblers. This scenario arises because if the demand law that states, other things held constant, an increase in the price of a good or service decreases its quantity demanded. Thus, there will be less labor hand available to produce more microcomputers which will decrease the supply of the servers.