Moderate

Which best describes a supply curve ?

Correct answer: B. The quantity producers are willing and able to sell at each and every price all other things unchanged

  • A. The quantity consumers would like to buy in an ideal world
  • B. The quantity producers are willing and able to sell at each and every price all other things unchanged
  • C. The quantity producers are willing and able to sell at each and every income all other things unchanged
  • D. The quantity producers are willing and able to sell at each and every point in time all other things unchanged

Explanation

A supply curve shows the quantity producers are willing and able to sell at every possible price, with other factors held constant. Income and time are not the defining variable on a supply curve.

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About Microeconomics

Individual consumers, firms and markets are examined through demand and supply, elasticity, consumer choice, production, costs, revenue and the determination of prices and output. The topic also covers market structures such as perfect competition, monopoly and oligopoly, plus market failure, externalities and the distinction between microeconomic decisions and economy-wide outcomes.

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