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When there's a vertical upward shift in the supply curve, what does it imply?Option     Increase in quantity supplied at a higher price     Increase in quantity supplied at the same price     Decrease in quantity supplied at the same price     Decrease in quantity supplied at a lower price

Question

When there's a vertical upward shift in the supply curve, what does it imply?Option     Increase in quantity supplied at a higher price     Increase in quantity supplied at the same price     Decrease in quantity supplied at the same price     Decrease in quantity supplied at a lower price

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Solution

A vertical upward shift in the supply curve implies an increase in quantity supplied at a higher price. This is because the supply curve represents the relationship between the price of a good and the quantity of that good that suppliers are willing and able to provide. If the supply curve shifts upwards, it means that suppliers are now willing to supply more of the good, but only at a higher price.

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Similar Questions

When there's a vertical upward shift in the supply curve, what does it imply?

The change in price that results from a rightward shift in demand will be greater ifGroup of answer choicesthe supply curve is horizontal than if the supply curve is upward sloping.the supply curve is relatively steep than if the supply curve is relatively flat.the supply curve is upward sloping than if the supply curve is vertical.the supply curve is horizontal than if the supply curve is vertical.

If the demand curve for a good is horizontal and the price is positive, then a leftward shift of the supply curve results inGroup of answer choicesa price of zero.an increase in price.a decrease in price.no change in price.

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What is the relationship between the price and quantity supplied in the individual supply curve?Option     Upward or positive     Inverse or negative     Unrelated     Constant

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