What does a supply curve illustrate a direct relationship between?
A) price and quantity demanded
B) price and demand
C) price and quantity supplied
D) price and supply

Question

Quizplus · Accepted Answer

The supply curve illustrates a direct relationship between price and quantity supplied. As the price of a good or service increases, producers are willing to supply more of that good or service to the market. This is because the higher price enables producers to cover their costs and earn a profit, which incentivizes them to increase their output. Consequently, the supply curve slopes upwards from left to right, indicating that there is a positive relationship between price and quantity supplied.

What Does a Supply Curve Illustrate a Direct Relationship Between