Supply refers to the quantity of goods availability for sale at the certain price and specified time.
Individual supply - supply of a particular commodity by an individual firm at a given price in the market is termed as individual supply.
Market supply - quantities of a particular commodity offer for sale by all the form at a given price in the market is known as market supply.
Law of supply - The law supply states that other things remaining same, higher the price, the greater the quantity supplied or lower the price, the smallest the quantity supplied.
Law of supply stablishes the direct relationship between price and quantity supplied.
According to this law of supply of commodity will increases in increase in price and decrease with decrease in price and other things remaining the same.
According to this law of supply of commodity will increases in increase in price and decrease with decrease in price and other things remaining the same.
Assumption of law of supply
1) There is no change in the price of relative commodity.
2) There is no change in the technique of production.
3) There is no change in the prices of factor of production.
4) There is no change in the goal of the firm.
5) There is no expectations of change with the price of related commidities.
2) There is no change in the technique of production.
3) There is no change in the prices of factor of production.
4) There is no change in the goal of the firm.
5) There is no expectations of change with the price of related commidities.
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