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One day a supplier supplied 300 units of a good at $20 per unit. A week later the same supplier supplied the same number of units at $10 per unit. Based on this evidence the supplier has experienced:

a
a decrease in quantity supplied.
b
an increase in supply.
c
a decrease in supply.
d
an increase in quantity supplied.
e
no change in supply or demand.

User Sargam
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2 Answers

5 votes

B: An increase in supply.

User Keita
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2 votes

I would say B cause if you got more of something it's usually less demanded so to adjust and earn some kind of profit the price is lowered due to an increase in supply

User Psibar
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