If sellers expect the price of their product to rise in the future, they are likely to increase their supply in the near future.

Name: If sellers expect the price of their product to rise in the future, they are likely to increase their supply in the near future.
Brand: Quizplus
Rating: 4.8 (43 reviews)

Question

Quizplus · Accepted Answer

Sellers expecting higher future prices may actually decrease their current supply to save it for selling at those higher future prices, thus not increasing supply in the near future.

If Sellers Expect the Price of Their Product to Rise