6
QuizMultiple Choice

Economic Decision-Making and Microeconomics — Test

Question 6 • Personal Finance and Economics

According to the law of supply, price and quantity move

Answer
A
along a track in the same direction.
B
along a track in opposite directions.
C
from the same point away from one another.
D
from different points toward one another.

Explanation

The law of supply states that, other things being equal, producers are willing to offer more for sale when the price rises and less when the price falls. Thus, price and quantity supplied move in the same direction, as choice A says: “along a track in the same direction.”

AI-written and checked against the verified answer.

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