3 Supply

positive relationship between good's price and quantity supplied. as price increases, quantity supplied also increases, ceteris paribus.

various quantities of a good or service that producers are willing and able to sell at different prices during a specific time period, ceteris paribus (all othe

a payment made by the government to producers to lower their costs and encourage more production.

a situation where two or more goods can be produced using same resources, and producing more of one means producing less of the other.

total supply of a good or service by all producers in the market.

graphically represents relationship between price of a good and quantity of the good supplied, ceteris paribus.

when the production of one good also produces another good as a by-product.

factors other than price that affect how much of a product producers are willing to supply, causing shifts in the supply curve.

taxes imposed on goods and services rather than on income or profits, which increase the cost of production.