--%>
Assignment Help - homework help

What are the determinants of supply

What are the determinants of supply?

E

Expert

Verified

The fundamental determinant of supply is the price of the commodity.  As price increases, the quantity supplied increases.  An increase in price reason a faction up to a given supply curve.  A decrease in price causes a movement down a given supply curve.

The non-price determinants of supply are: resource (input) prices, technology, taxes and subsidies, expectations, prices of other related goods as well as the number of sellers.  If one or more of these changes, there will be the whole supply curve as well as a change in supply will shift to the right or the left.

   Related Questions in Business Economics

  • Q : What is the basic principle of

    What is the basic principle of comparative advantage?

    		•
  • Q : David Hume statement regarding money in

    In modern parlance, David Hume statement regarding money which is Tis none of the wheels of trade. And tis the oil, was referring to the notion that money: (i) is relatively costly to produce. (ii) facilitates divisions of labor and specialization and

    		•
  • Q : Who define Theory of Moral Sentiments

    The argument which slicing off one’s pinkie would be extra bothersome to which person than the loss of millions of his brethren was made within A Theory of Moral Sentiments (1755) through: (1) Adam Smith. (2) David Ricardo. (3) Theophrastus Phil

    		•
  • Q : International Trade & Globalization

    Question: 1.   Long-term Growth, International Trade & Globalization a.   In terms of understanding the importance of trade to an economy, the most impor

    		•
  • Q : Real rate of interest Question: Hubbard

    Question: Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  • Q : Describe Quasi-public goods Describe

    Describe Quasi-public goods?

    		•
  • Q : Define Operating income approach

    Describe briefly Operating income approach?

    		•
  • Q : Explain the definition of Economics

    Explain the definition of Economics?

    		•
  • Q : Government Pegged Currencies Question:

    Question: If a government pegs the value of its currency to another currency, the government must stand ready to i. _________________________ the "hard" currency to defend the pegged value of its own currency. ii.

    		•
  • Q : Sources of not tax revenue Provide some

    Provide some sources of not tax revenue? Answer: Escheat, income from public enterprises, special assessment, fees and fines and so on.

    		•