According to the law of supply, what happens when the price of a good increases?

Choose 1 answer:
(A) The quantity supplied increases.
(B) The supply curve shifts to the left.
(c) People are willing to buy what is supplied.
(D) The supply curve shifts to the right.
(E) The supply curve flattens out.

Question

According to the law of supply, what happens when the price of a good increases?

Choose 1 answer:
(A) The quantity supplied increases.
(B) The supply curve shifts to the left.
(c) People are willing to buy what is supplied.
(D) The supply curve shifts to the right.
(E) The supply curve flattens out.

Accepted Answer

∻Solution by Steps∻ ‖ step 1 ⋮ To address the question, we need to understand the law of supply in economics. ‖ ‖ step 2 ⋮ The law of supply states that, all else being equal, an increase in the price of a good will result in an increase in the quantity supplied. ‖ ‖ step 3 ⋮ This relationship is reflected in the movement along the supply curve, not a shift of the supply curve itself. ‖ ∻Answer∻ ‖ The correct answer is that the quantity supplied increases. ‖ ***A*** ∻Key Concept∻ ⚹Law of Supply⚹ ∻Explanation∻ ⚹According to the law of supply, when the price of a good increases, the quantity supplied increases, which is a movement along the supply curve.⚹◊What is the probability of randomly selecting the correct answer to the multiple-choice question on the law of supply in economics?⍭ Generate me a similar question◊

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