Supply curves slope upward because:
a. the quality is assumed to vary with price.
b. technology improves over time, increasing the ability of firms to produce more at each possible price.
c. increases in the price of a good lead to rightward shifts of the supply curve.
d. rising prides provide producers with the incentives needed to increase the quantity supplied.
Question 2
The law of supply states that:
a. there is a negative relationship between the price of a good and the quantity of it purchased by suppliers.
b. there is a positive relationship between the price of a good and the quantity that buyers choose to purchase.
c. there is a positive relationship between the price of a good and the quantity of it offered for sale by suppliers.
d. at a lower price, a greater quantity will be supplied.
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