Supply graphs

Cards (5)

  • A supply curve is upward sloping which shows that as market price increases the firm is willing and able to sell.
  • Inward shift- a fall in supply
  • Outward shift- an increase in supply
  • Fall in supply may be caused by a rise in the cost of production , indirect taxes.
  • An increase in supply may be caused by the price of factors of production , an increase in productivity , more suppliers entering the market.