Lesson 1 What is Supply?
Review Questions
Directions: Read each main idea and complete the statements below. Refer to your textbook as you write
the answers.
A. An Introduction to Supply
Main Idea: Supply is the amount of a product available for sale at all possible prices. Many factors affect product
supply
1. The Law of Supply states that
of a product will be offered at a high price and
of a product will be offered at a low price.
2. The supply schedule lists the different
of a product that are supplied at all possible
- in the market
3. The market supply curve is a graph that shows how much of a
is offered at various
prices by
producers who sell that product in a given market
4. A change in quantity supplied only takes place if there is a change in
B. Change in Supply
Main Idea: Various factors cause the supply of a product to change.