Table 7-10
$$\begin{array} { | l | r | }
\hline \text { Seller } & \text { Cost } \
\hline \text { Lepran } & \$ 700 \
\hline \text { Kabe } & \$ 600 \
\hline \text { Kevin } & \$ 450 \
\hline \text { Steve } & \$ 400 \
\hline
\end{array}$$
-Refer to Table 7-10. You want to hire a professional photographer to take pictures of your family. The table shows the costs of the four potential sellers in the local photography market. Which of the following graphs represents the market supply curve?

Question

Table 7-10
 $$\begin{array} { | l | r | } 
\hline \text { Seller } & \text { Cost } \
\hline \text { Lepran } & \$ 700 \
\hline \text { Kabe } & \$ 600 \
\hline \text { Kevin } & \$ 450 \
\hline \text { Steve } & \$ 400 \
\hline
\end{array}$$
-Refer to Table 7-10. You want to hire a professional photographer to take pictures of your family. The table shows the costs of the four potential sellers in the local photography market. Which of the following graphs represents the market supply curve?

Quizplus · Accepted Answer

The market supply curve represents the total quantity supplied by all sellers at each price level. To derive a market supply curve, we need to horizontally sum the individual supply curves of all sellers in the market.

Looking at the table, we can see that all sellers have a positive supply at any price. Therefore, the market supply curve should start from the origin and slope upwards to the right.

Option C shows the correct slope and direction of the market supply curve, which is obtained by adding up the quantities supplied at each price level by all four sellers. Options A and B show upward sloping curves, but they do not include all sellers in the market. Option D shows a downward sloping curve, which is inconsistent with the law of supply.

Table 7-10 -Refer to Table 7-10