Question

Using graphs distinguish between change in supply and change in quantity supplied.

Answer 1

• Change in supply: (Shift of supply curve)-
  

(i) Either an increase or decrease in supply of a commodity at a given price.

(ii) A leftward shift indicates a decrease in supply.

(iii) A rightward shift indicates an increase in supply.

(iv) All the factors except price are assumed.

• Change in quantity supplied: (Movement along supply curve)-
  

(i) Change in quantity supplied due to change in price of a commodity.

(ii) Movement from left to right indicates expansion in supply.

(iii) Movement from right to left indicates contraction in supply.

(iv) All the factors except price, remains.