What factor is most likely to increase supply in a market?

An increase in the number of firms operating in a market is most likely to increase supply. When more firms enter a market, the overall production capacity and output available increase. This additional competition among firms leads to a greater quantity of goods or services being supplied to consumers.

As new firms join the market, they contribute to the supply curve shifting right, indicating an increase in the total output at every price level. This can also foster innovation and efficiency as firms compete, potentially lowering prices and further increasing supply.

In contrast, factors like increased indirect taxation would typically lead to higher costs for producers, which might reduce supply. Decreased technology implementation could hinder production efficiency and output levels, thereby negatively affecting supply. Similarly, decreased productivity generally means that less output is produced for the same input, which would lead to a decrease in supply.