Microeconomics Class 11: Chapter 9 Supply CBSE Sandeep Garg book notes скачать в хорошем качестве

Microeconomics Class 11: Chapter 9 Supply CBSE Sandeep Garg book notes

In microeconomics, Supply refers to the quantity of a commodity a producer is willing and able to offer for sale at a given price during a specific period. The Law of Supply establishes a direct relationship between price and quantity supplied, assuming other factors remain constant (ceteris paribus). As price rises, producers are motivated to supply more to increase revenue, leading to an extension in supply. A fall in price causes a contraction in supply. This relationship is represented graphically by an upward-sloping Supply Curve. Factors causing a shift in the supply curve (change in supply) include: · Cost of Production: Higher costs decrease supply. · Technology: Improved technology increases supply. · Government Policies: Taxes reduce supply, while subsidies increase it. · Prices of Related Goods: A rise in the price of a substitute good (e.g., millet for wheat) can decrease the supply of the original good. The Price Elasticity of Supply (PES) measures the responsiveness of quantity supplied to a change in price. Microeconomics class11th    • Microeconomics class11th   #microeconomicscuet #supplynotes11th