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miv72 [106K]
3 years ago
7

Click to review the online content. Then answer the question(s) below, using complete sentences. Scroll down to view additional

History
1 answer:
tekilochka [14]3 years ago
4 0

<u>Unclear question. However, I  you are referring to the product supply curve.</u>

<u>Answer</u>:

<u>Price and quantity</u>

<u>Explanation</u>:

Remember, a supply curve is graphical representation of changes in the quantity supplied of a particular product as result of a change in price of that commodity.

1. The two factor displayed on the supply curve are the Price (usually on the vertical line or axis) and the quality supplied (on the horizontal line or axis).

2. Price: For instance, when the cost of production  of a company is lower the supply of that product increases because the company sees it as opportunity to make more profit. However, when the cost of production increases, the supply by the company reduces, thus graphically it is observed the supply curve will shift to the left.

Quantity: The quantity supplied is a reflection of the amount that the companies are willing and able to supply to the market.

Conclusion: Both quantity and price changes results in a movement along the supply curve.

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