Write a 500 word summary on supply.

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Write a 500 word summary on SUPPLY

  • Talk about determinants of supply

1. Input costs, input prices, resource prices. (these all mean the same thing)
2. Taxes
3. Technology
4. # of sellers
5.Price of OTHER goods that the company makes
6. seller expectations

  • Talk about law of supply
  • The Law of Supply holds all else constant but one of things changes it changes the whole supply.
  • Also talk about how An increase in supply means sellers will sell more of the good at all prices and is shown as a right shift in the supply curve.
  • An decrease in supply means sellers will sell less of the good at all prices and is shown as a left shift in the supply curve.