Supply

Question 1

What is the definition of Supply?

Answer 1

The quantity of a good or service that a producer is both willing and able to provide at any given price over a period of time

Question 2

What is a Supply Schedule?

Answer 2

A table that sets out the quantity of a good or service that a producer is both willing and able to provide at any given price over a period of time

Question 3

What is a Supply Curve?

Answer 3

A graph that sets out the quantity of a good or service that a producer is both willing and able to provide at any given price over a period of time

Question 4

What is the definition of the Law of Supply?

Answer 4

As the price rises the quantity supplied will increase, or vise versa assuming Ceteris Paribus.

Question 5

What does the term willing and able mean in terms of the Supply definition?

Answer 5

Willing - The producer wants to produce the good

Able - They have the means to produce them - Land, labour, capital and entrepreneurship.