Reference no: EM133284264
Questions
1. The microeconomic law known as the law of supply states that, provided that all other factors remain the same.
2. the quantity of goods or services supplied by suppliers will increase in proportion to the rise in the price of those goods or services.
3. According to the law of supply, suppliers will try to increase the number of products for sale as the price of the item rises.
4. According to the law of supply, producers will supply more to the market if the price is higher.
5. When businesses anticipate receiving a higher price for something, they will produce more of it because they want to increase revenue.
6. In the meantime, suppliers are discouraged from producing as much if prices drop.
7. A supply curve with an upward slope that depicts how the quantity supplied will respond to various prices over time can be used to represent supply in a market.
8. It is one half of the law of supply and demand, along with demand.
9. Law of Supply Understanding the Law of Supply The chart below uses an upward-sloping supply curve to illustrate the law of supply.
10. The supply curve has three points: A, B, and C.The price (P) and the quantity supplied (Q) are directly correlated at each point on the curve. At point A, Q1 will be the quantity supplied, P1 will be the price, and so on.