Question

If the price of a calculator is ​$10,​ 24 million calculators a year are supplied. Draw a point at this combination of price and quantity.

If the price of a calculator falls to ​$2​, 6 million calculators are supplied. Draw a point at this combination of price and quantity.

Draw a supply curve for calculators that is consistent with this information. Label the curve.

Along the supply curve, _____.

Answer 1

To draw a supply curve for calculators based on the given points, plot the price-quantity pairs on a graph with price on the vertical axis and quantity on the horizontal axis, then draw a line through these points. The resulting upward-sloping curve demonstrates the law of supply.

Step-by-step explanation:

In response to the question, to draw a supply curve with the given information:

1. At a price of $10, 24 million calculators are supplied, and at a price of $2, 6 million calculators are supplied. These two price-quantity points can be plotted on a graph.
2. With the price on the vertical axis and quantity on the horizontal axis, plot the first point at (24 million, $10) and the second point at (6 million, $2).
3. Draw a line through these points to represent the supply curve for calculators. This curve will typically slope upwards, indicating that as the price rises, the quantity suppliers are willing to produce and sell increases.

Along the supply curve, the relationship between price and quantity supplied illustrates the law of supply, which states that there is a direct relationship between price and the quantity of a good that suppliers are willing to provide, ceteris paribus.