Supply + Supply Curves

Question 1

What is the definition of Supply?

Answer 1

The quantity of a good or service which suppliers are WILLING AND ABLE to produce in a given period.

Question 2

What happens to supply when price increases?

Answer 2

Supply increases.

Question 3

What happens to supply as price decreases?

Answer 3

Supply decreases.

Question 4

What happens if the price of a good changes?

(Along or Shift)

Answer 4

There will be a movement ALONG the supply curve.

Question 5

What happens if something other than price changes the level of supply?

(Along or Shift)

Answer 5

This will result in a SHIFT in the whole supply curve.

Question 6

What happens if there is less raw material?

(Left or Right for curve?)

Answer 6

This will lead to a reduced supply and the curve will shift to the LEFT.

Question 7

What happens if there is a change in the cost of production?

(Left or Right)
(Along or Shift)

Answer 7

The supply curve will shift to the Right.

Question 8

What is a monopoly?

Answer 8

A market with one major supplier who controls most, if not all of the market.