An upward-sloping supply curve shows that
A)buyers are willing to pay more for a scarce product.
B)suppliers are willing to increase production of their goods if they can receive higher prices for them.
C)buyers are unaffected by sellers' costs of production.
D)the price of a product is not influenced by the price buyers are willing to pay.
E)at higher prices, an envy effect begins to affect the demand curve.

Question

Quizplus · Accepted Answer

An upward-sloping supply curve indicates that suppliers are willing to increase production of their goods if they can receive higher prices for them. This is because the higher prices offer an incentive for suppliers to increase their output and earn more profits.

An Upward-Sloping Supply Curve Shows That