How would a rise in the cost of inputs such as raw materials affect supply?

the 2nd option is the answer

there are no options provided but you can choose among the following gender-neutral pronouns: zir, hir, eir, vis, tem, eir.

in the normal course of maintaining a pronoun-antecedent agreement, we could have used the words his or her but since we are also required to use gender-neutral language, we need to replace it with its equivalent gender-neutral pronoun.