The quantity of a good or service that producers are willing to produce at a given price. Change in price affect the quantity supplied and these changes are represented in the movement along the supply curve.
The reason for the direct relationship between price and quantity supplied is the seller's goal of profit-maximization. For the seller to make a profit, the sell price must be sufficient to cover the seller's cost of production. An increase in the selling price will make it easier for sellers to cover their cost of production. An increase in the selling price will cause existing producers to increase their production and will attract new producers into the market. Thus, an increase in the selling price will cause a increase in the quantity supplied.The law of supply and demand dictates that the greater the demand for any given product the greater the price. Demand,l largely dictates the price of products, but the rarity of any product in demand also contributes to the price. Then there is the theory of supply side economics that states demand can be created for abundant supplies.
If there's a lot of it available, and the demand is low, then the price will be low. If there's not a lot available, and the demand is high, then the price will be high.
More xcommonly known as "The Law of Supply and Demand."
there is an obvious relation between the two, if you buy three cows it will obviously cost more than one cow.
direct
Yes, it does.
As quantity supplied goes up, price goes down. This is because the supply function is downward sloping. Thus, the relationship is inverse.
direct
It is a direct relationship. As demand for an item rises, all else equal, price for an item will rise.
The quantity theory of money-fisher's version states that the money supply has a proportional and direct relationship with the price level.
Yes, it does.
As quantity supplied goes up, price goes down. This is because the supply function is downward sloping. Thus, the relationship is inverse.
direct
It is called direct variation.
It is called direct variation.
It is a direct relationship. As demand for an item rises, all else equal, price for an item will rise.
Direct variation
Direct variation
the relationship between pressure and volume a direct or inverse?
There is no direct relationship
The quantity theory of money-fisher's version states that the money supply has a proportional and direct relationship with the price level.
there is no direct relationship. they are antithetical.