There is a direct relationship between price and quantity supplied?
Monday, March 13, 2023
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Question: There is a direct relationship between price and quantity supplied?
One of the basic concepts in economics is the law of supply, which states that producers are willing and able to offer more of a good or service for sale as the price increases. This implies that there is a direct relationship between price and quantity supplied, meaning that they move in the same direction. For example, if the price of apples rises, farmers will have an incentive to produce and sell more apples, and vice versa. A graphical representation of this relationship is called a supply curve, which slopes upward from left to right.
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