The economic principle stating that a positive relationship exists between price and quantity supplied, ceteris paribus, is the law of:
A) supply.
B) demand.
C) the invisible hand.
D) free markets.

Question

Quizplus · Accepted Answer

The law of supply states that, all else equal, an increase in price results in an increase in quantity supplied. This principle reflects producers' willingness to sell more of a good as its price rises, under the assumption that all other factors affecting supply remain constant (ceteris paribus).

The Economic Principle Stating That a Positive Relationship Exists Between