-Refer to the above figure. Which of the following statements is true?
A) Panel A shows an increase in supply and Panel B shows a decrease in supply.
B) Both Panels A and B show an increase in supply.
C) Panel A shows a change in quantity supplied and Panel B shows a change in supply.
D) Panel A shows a change in supply and Panel B shows a change in quantity supplied.

Question

-Refer to the above figure. Which of the following statements is true?
A) Panel A shows an increase in supply and Panel B shows a decrease in supply. 
B) Both Panels A and B show an increase in supply. 
C) Panel A shows a change in quantity supplied and Panel B shows a change in supply. 
D) Panel A shows a change in supply and Panel B shows a change in quantity supplied.

Quizplus · Accepted Answer

Panel A shows a change in supply, which is a shift of the entire supply curve to the right. Panel B shows a change in quantity supplied, which is a movement along the supply curve.

-Refer to the Above Figure