1) Supply Curve
a) Extension & contraction in supply Extension in supply is the increase in quantity supplied and contraction in supply is the decrease in quantity supplied.
a) Extension & contraction in supply Extension in supply is the increase in quantity supplied and contraction in supply is the decrease in quantity supplied.
b) Increase & decrease in supply Increase in supply is the rise in supply at a given price and decrease in supply is the fall in supply at a given price.
- Causes of change in supply:
1) Changes in cost of production
2) Improvements in technology
3) Taxes
4) Subsidies
5) Weather conditions
6) Prices of other products
7) Disasters & War
8) Discovery & depletion of commodities
1) Changes in cost of production
2) Improvements in technology
3) Taxes
4) Subsidies
5) Weather conditions
6) Prices of other products
7) Disasters & War
8) Discovery & depletion of commodities