All else being equal, if there is a change in the price of a good, then the supply of that good will change.

Question

Quizplus · Accepted Answer

A change in the price of a good affects the quantity supplied, not the supply itself. Supply refers to the entire relationship between price and the quantity of a good that producers are willing to sell, whereas quantity supplied refers to the amount of a good producers are willing to sell at a specific price. Changes in supply are caused by factors other than the price of the good itself, such as production costs, technology, and expectations.

All Else Being Equal, If There Is a Change in the Price