A movement along the supply curve is the result of a change in _______ , while a shift in the supply curve is the result of a change in ________.Multiple choice question.price; non-price determinantsnon-price determinants; pricedemand; priceprice; demand.
Question
A movement along the supply curve is the result of a change in _______ , while a shift in the supply curve is the result of a change in ________.Multiple choice question.price; non-price determinantsnon-price determinants; pricedemand; priceprice; demand.
Solution
The correct answer is "price; non-price determinants".
Here's why:
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A movement along the supply curve: This happens when the price of the good or service changes. For example, if the price of apples goes up, suppliers will be willing to supply more apples, so we move up along the supply curve. If the price goes down, suppliers will be willing to supply less, so we move down along the supply curve.
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A shift in the supply curve: This happens when there is a change in any non-price determinant of supply. Non-price determinants include things like the cost of inputs, technology, the number of sellers in the market, expectations about future prices, etc. For example, if a new technology makes it cheaper to produce apples, the supply curve for apples will shift to the right, indicating an increase in supply at every price level.
Similar Questions
When there is a change in a non-price determinant of supply:Multiple choice question.the supply curve shifts and there is a movement along the demand curve.the supply curve shifts and there is a change in the demand.the supply curve shifts and there is a no change in the quantity demanded.the quantity supplied changes and there is a shift in demand.
The movement along either a demand or a supply curve happens when one curve _____ while the other curve _____.Multiple choice question.shifts; remains constantremains constant; remains constant
A change in demand is said to take place when there is a A. shift of the demand curve. B. shift of the supply curve. C. price change. D. movement along the demand curve. E. quantity change.
The supply curve shifts in response to changes in non-price of supply. (Enter one word in the blank.)
Which of the following would cause a movement along the supply curve? A change in the cost of inputs A change in technology A change in the number of sellers A change in the price of the product
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