Supply in Economics

Supply in Economics

Definition:

Supply of specific commodity.When we consider a supplier supplies product or commodity it means that.

• The supplier has the technology to produce the commodity.
• The supplier ensures profit by selling the commodity.

Factor/Determinants affecting quantity supply:

1. Price of the commodity.
2. Price of Raw materials.
3. Expected future price.
4. Technological Improvement.
5. Number of suppliers.
6. Price of related goods.