Change in Quantity Supplied and Change in Supply Assignment Help

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Change in Quantity Supplied and Change in Supply:

We make a distinction between change in quantity supplied and change in supply.

Change in Quantity Supplied

This occurs when more or less of a commodity is offered for sale as a result of change in the market price of the commodity. It results in either an upward movement or a downward movement along a supply curve. A change in quantity supplied may either be an increase in quantity supplied or a decrease in quantity supplied.

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Figure: Increase in Quantity Supplied of Amala


From the fig. an increase in the market price of Amala form c4,000 to c5,000 will lead to an increase in its quantity supplied from 30 bags to 40 bags. This produces a movement along the supply curve, , from point A to Point B.

Change in Supply Decrease in Quantity Supplied
Decrease in Supply Factors that cause Changes in Supply
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