Answer to Question #235022 in Microeconomics for Mukuacishi

Question

True or false : A change in quantity supplied means the entire supply curve will move to a new location?

Answer 1

Solution:

The statement is False.

A change in quantity supplied refers to a movement along the supply curve, which is only caused by a change in price. A change in quantity supplied means that we are moving along the existing supply curve and the entire supply curve will not move to a new location.