Supply Flashcards
1
Q
What does the supply curve identify?
A
the quantity a producer plans to sell in the market
2
Q
When does joint supply occur?
A
when two good are supplied together from the same source e.g leather and beef
3
Q
Why would the supply curve shift to the right?
A
because producers are supplying more at the same price
4
Q
Give 7 reasons supply may increase
A
- government intervention
- decrease in the cost of production
- increase in the number of suppliers
- increase in capacity for firms
- lower taxes on the good
- better climate conditions
- improvements in technology
