Supply is create when the producer brings the goods product into the market for sale.As there is close relationship between demand and the price of goods there is also a very close relation ship between supply and the price of the goods.There is an inverse relation ship between demanded and price.But the relationship between supply and price is positive.That is there is positive relation ship between supply and the price of goods ;generally change in the price of goods change the supply of goods as well .That is the law of supply stater that there is a direct relation ship between price and supply.
Law of supply state that other things remaning the same ,any producer will supply more when the price is high and supply less when the price is low .According to the economist Meyers,"supply is a schedule of the amount of a good that would be offered for sale at all possible price at one instant ofr time .
No comments:
Post a Comment