2.3 Supply

Question 1

Why are supply curves upward sloping

Answer 1

Question 2

What is individual supply

Answer 2

The supply that a producer is willing and able to sell at a given price in a given period of time

Question 3

What is market supply

Answer 3

The sum of all individual supplies in a market

Question 4

What are the three types of supply

Answer 4

Joint
Composite
Competitive

Question 5

What is joint supply with an example

Answer 5

This is when increasing the supply of one good causes an increase or decrease in the supply of another

For example, producing more lamb will increase supply of wool

Question 6

What is composite supply with an example

Answer 6

The occurs when a good or service can be obtained from different sources

For example, light can be produced from candles, electricity and gas

Question 7

What is competitive supply with and example

Answer 7

Question 8

Explain the movements along this supply curve

Answer 8

Question 9

Explain how this supply curve has shifted

Answer 9

Question 10

What are the factors that shift the supply curve

Answer 10

Productivity 
Indirect taxes 
Technology 
Subsidies 
Weather 
Costs of production