Which of the following statements about the law of supply is most accurate?
A) There is an inverse relationship between price and the quantity supplied.
B) There is an inverse relationship between price and quantity demanded.
C) There is a direct relationship between price and quantity demanded.
D) There is a direct relationship between price and the quantity supplied.

Question

Quizplus · Accepted Answer

The law of supply states that there is a direct relationship between price and the quantity supplied. As the price of a good or service increases, the quantity supplied also increases because producers are willing to produce more if they can earn a higher price for their product. Conversely, if the price of a good or service decreases, the quantity supplied will decrease.

Which of the Following Statements About the Law of Supply