Supply Flashcards
1
Q
What is supply
A
Quantity of g/s producers are willing to produce at a given price and time level
2
Q
What is the law of supply
A
Direct relationship between price and supply
3
Q
What is the profit motive
A
When prices go up, theres more profit to be made and more incentive to supply
4
Q
What factors affect supply
A
Productivity
Indirect taxes
Number of firms
Technology
Subsidies
Weather
Costs of prod
