supplying

• What is the definition of supply?

  The quantity of a good or service that a producer is willing and able to supply onto the market at a given price in a given time period
• What are the four main causes of changes in the amount supplied to a market?

  Costs of production

  External shocks

  New technology

  Taxation and Subsidies
• What does lower unit costs mean?

  That a business can supply more at each price
• What do higher unit costs mean?


  Causes an inward shift of supply - e.g. a rise in wage rates
• Describe the relationship between price and quantity supplied?

  As the price increases the quantity supplied would increase
• What can technological change encourage?

  New entrants to a market and enable existing suppliers to become more efficient
• What is meant by fixed supply and in what situation does it happen?

  supply that never changes

  e.g - tickets to a concert