Chapter 5 Lesson 1: What Is Supply?

The desire and ability to produce and sell a product is

• demand

• production

• profit

• supply

The law of supply states that

• when prices go up, quantity supplied goes down; when prices go down, quantity supplied goes up

• when prices go down, quantity supplied goes down; when prices go up, quantity supplied goes up

• when prices go up, supply goes down; when prices go down, supply goes up

• when prices go down, supply goes down; when prices go up, supply goes up

A supply schedule is a

• table showing how much of a product someone is willing and able to buy

• graph showing how much of a product someone is willing and able to buy

• table showing how much of a product someone is willing and able to sell

• graph showing how much of a product someone is willing and able to sell

Supply curves are created using the assumption that all economic factors remain constant except

• demand

• elasticity

• price

• production

What motivates producers to increase supply?

• efficiency

• demand

• profit

• thrift

Price and quantity supplied have a direct relationship because:

• as price increases, quantity supplied increases

• as price increases, quantity supplied decreases

• as price decreases, quantity supplied increases

• there is no relationship between price and quantity supplied

This part of the market determines SUPPLY

• buyers
• sellers
• consumers
• us