Asked by Mercedez Miller on Apr 27, 2024
Verified
If the price of a commodity increases,you can usually expect the:
A) supply to increase.
B) quantity supplied to increase.
C) quantity supplied to decrease.
D) supply curve to shift to the right.
Commodity Increases
Refers to a rise in the quantity supplied or demanded of a good or service, often due to factors like price changes, improvements in technology, or shifts in consumer preferences.
Quantity Supplied
The amount of a good or service that producers are willing and able to sell at a given price over a specified period.
Supply Curve
A graphical representation of the relationship between the price of a good and the quantity supplied.
- Distinguish between changes in supply and quantity supplied based on different market scenarios.
Verified Answer
AA
Atoum AbdullahApr 27, 2024
Final Answer :
B
Explanation :
An increase in the price of a commodity typically leads to an increase in the quantity supplied, as suppliers are willing to produce and sell more at higher prices. This is a movement along the supply curve, not a shift of the supply curve itself.
Learning Objectives
- Distinguish between changes in supply and quantity supplied based on different market scenarios.