QUANTITY SUPPLY

Untitled Slide

Definition

• Quantity supplied is the quantity of a commodity that producers are willing to sell
• At a particular price at a particular point of time.

PRICE OF ORANGES

• 75 cents - 470 oranges a week
• 70 cents - 400 oranges a week
• 65 cents - 320 oranges a week
• 60 cents - 200 oranges a week

Price and quantity supplied are directly related. As price goes down, the quantity supplied decreases; as the price goes up, quantity supplied increases.