In which statement(s) are "supply" and "quantity supplied" used correctly? (I) "An increase in the price of toasters will increase the quantity supplied of toasters."
(II) "A technological advance that lowers the cost of producing toasters will increase the supply of toasters."
A) in both statements I and II
B) in statement I only
C) in statement II only
D) in neither statements I nor II

Question

Quizplus · Accepted Answer

Statement I correctly uses "quantity supplied" as it refers to the amount of toasters producers are willing to sell at a higher price. Statement II correctly uses "supply" as it refers to a shift in the supply curve due to technological advances.

In Which Statement(s) Are "Supply" and "Quantity Supplied" Used Correctly