 module 49 technology. Because of technological improvement, there is a change in supply of the commodity under consideration. Technology usually indicates change in the process of in change in production process in long term and because of that change in production process in long terms there is a shift in supply function. Up to indicate the impact of technological improvement on the supply shift, again horizontal axis by quantity supply layer, vertical axis by price layer and this S1 curve indicate a positively sloped associate positive association between quantity supply and price. And because of technological improvement, this supply curve shifts from S1 to S2 and this shift of S1 supply curve from S1 to S2 indicate an increasing supply and this increase in supply is because of improvement in technology. Whenever you have technological improvement, because of that technological improvement by using same resources, firm is in a position to produce more output, firm is in a position to produce same output by using less amount of resources. Because of new technology, because of improvement in technology, our production function, production function of the producer will shift upward. And when it will shift upward, it will be profitable for the producer to produce more even with the same input and output prices. Although there is no change in price of output and price of input, but it is profitable for the firm to produce more. Reason is that there is technological improvement. When we talk about technological improvement with reference to agricultural sector, agricultural sector, where technological improvement can come from? It can come from seeds, if there is improvement in the quality of the seed that is being used to produce crops. When there are high yield varieties, high yield varieties seeds came to you, what it did? It increased the production of the crops. When you have high breed animals, because of that improvement in the breeds of animal, again there is increase in the production of animals. There are better methods to control insects and disease. So, again there is improvement in output of agricultural sector. Mechanization give us a bit what happened? It also results and improvement in production function. The firm, the firmers are in a position to produce more output even with same amount of resources. Why? Because of improvement in yield varieties, because of better methods to control insects, weeds and diseases and mechanization. But is the most important thing in all of this? Will the new technology adopt or not? It depends on the benefits that are associated with new methods of production. If new methods, benefits of the farmer are greater than the cost that a farmer has to be able to adopt and use those new technology, greater benefits than cost, farmer adopt and new technology. But if benefits are less than the cost to adopt the new technology, then farmer will not adopt that new technology because ultimate objective of the farmer is to maximize its profit. If I summarize all of this, then because of technological improvement or the technological improvement that is a relatively longer process. Whenever there is technological improvement, there is increase in supply of output.