Question

What is the difference between movement along the supply curve (change in quantity supplied) vs shift in supply (change in supply)?

A) a change in quantity supplied is a movement along the supply curve, while a change in supply is a shift in the supply curve.
B) both a change in quantity supplied and a change in supply are movements along the supply curve, only in different directions.
C) a change in supply is related to the supply curve, while a change in quantity supplied is related to shifts in the demand curve that elicit a change in supply.
D) a change in supply is a movement along the supply curve, while a change in quantity supplied is a shift in the supply curve.

Answer 1

A change in quantity supplied is a movement along the supply curve, while a change in supply is a shift in the supply curve.

Step-by-step explanation:

The difference between movement along the supply curve (change in quantity supplied) and a shift in supply (change in supply) lies in their causes and effects. A change in quantity supplied is a movement along the supply curve, which is caused by a change in the price or quantity demanded of a good or service. On the other hand, a change in supply is a shift in the supply curve, which is caused by factors such as changes in production costs, technology, or government regulations.

For example, if the price of apples increases, it would lead to a movement along the supply curve as producers increase the quantity of apples supplied. However, if there is an increase in apple orchards or new technology that improves apple production, it would cause a shift in the supply curve as more apples can be produced at each price level.

In summary, a change in quantity supplied is a movement along the supply curve, while a change in supply is a shift in the supply curve.