asked 92.7k views
2 votes
Define what economists mean when they say the quantity supplied of a product has increased.

asked
User Avhi
by
7.9k points

1 Answer

1 vote

Final answer:

When economists say the quantity supplied of a product has increased, it means that producers are willing to supply more of the product at each price. This is due to a rise in price that incentivizes producers to increase their supply. This positive relationship is known as the law of supply.

Step-by-step explanation:

When economists say that the quantity supplied of a product has increased, they mean that producers are willing to supply more of the product at each price. This is usually because there has been a rise in price, which incentivizes producers to increase their supply. For example, if the price of gasoline goes up, firms may take actions like expanding exploration for oil or opening more gas stations. This positive relationship between price and quantity supplied is known as the law of supply.

answered
User Pmorken
by
8.3k points

No related questions found

Welcome to Qamnty — a place to ask, share, and grow together. Join our community and get real answers from real people.

Categories