Question

What does the law of supply state?

Producers will produce or supply many of a good as the price of the good increases.
As demand decreases, supply decreases,
Producers will produce or supply more of a good as the price of the good decreases
As demand increases, supply decreases,

Answer 1

The law of supply states that a higher price leads to a higher quantity supplied and that a lower price leads to a lower quantity supplied. Supply curves and supply schedules are tools used to summarize the relationship between supply and price.