Tasha is undecided about whether to sell her house or not. If the real estate agent comes to her with a $150,000 offer, she will not sell. If the offer is $175,000, she will sell. Think of Tasha as one of hundreds of would-be sellers on the housing market. It illustrates that

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Tasha's willingness to sell her house at a higher price but not at a lower price reflects the basic economic principle that the quantity of goods supplied increases as the price increases. This behavior contributes to the upward slope of the supply curve for homes, as it indicates that sellers are more likely to enter the market at higher prices.

Tasha Is Undecided About Whether to Sell Her House or Not