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Explain about the supply curve or supply schedule.
The supply curve or schedule shows the total quantity of a good or a service supplied within aggregate, by whole sellers or firms into the market at altered prices. The law of supply states about prices decrease the quantity supplied falls and also vice versa.
According to the theory of supply as sellers desire to maximise profit, a higher price would support existing suppliers to expand output because of more profit per unit being earned, the increase in price may attract also more firms within the industry. But a lower price would cause existing firms to depart the industry or to contract production of the good or service because of lower profits being earned.
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