A fall in the price of a good causes producers to reduce the quantity of the good they are willing to produce. This fact illustrates

Name: A fall in the price of a good causes producers to reduce the quantity of the good they are willing to produce. This fact illustrates
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Question

Quizplus · Accepted Answer

This fact illustrates the law of supply, which states that, all else equal, an increase in price results in an increase in quantity supplied, and a decrease in price results in a decrease in quantity supplied.

A Fall in the Price of a Good Causes Producers