Which one of the following statements is FALSE?
A) There is an inverse (negative) relationship between product price and quantity supplied.
B) There is some price at which quantity supplied of a product is zero.
C) As product price increases, producers are willing to put more of the good on the market for sale.
D) In order to entice producers to offer more of a product on the market for sale, product price must rise.

Question

Quizplus · Accepted Answer

There is a positive relationship between price and quantity supplied, not a negative one. As the price of a product increases, producers are willing to make more of the good available for sale, resulting in an increase in quantity supplied. This reflects the law of supply, which states that the quantity of a good supplied will increase as its price rises.

Which One of the Following Statements Is FALSE