Supply_1

Question	Answer
Define supply	The total quantity made available at any given price over a specific time period
What is the law of supply?	As prices rise, so too does supply
What is the shape of the supply curve?	Upward sloping from left to right
Why does it slope upwards from left to right?	Because of the positive relationship between price and quantity supplied
What is the supply function?	S(x) = F[ P(x), POG, C, Tn]
What does P(x) and POG stand for?	P(x) = Price of Base Good POG = Price of Other Goods
What are "Other Goods" when talking about supply?	Alternative products the producer could supply
What does C stand for?	Cost of production
Is the relationship between cost of production and supply positive or negative?	Negative
What does Tn stand for?	Technology
What shape is the fixed supply curve?	Vertical
Give an example of a "product" with a minimum price	Labour (minimum wage)

Resource summary

	Created by jackexamtime almost 11 years ago

	Copied by eleanor.adamandi almost 11 years ago