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All questions of Supply for Grade 9 Exam
What happens to the supply curve when production costs decrease?- a) The supply curve remains unchanged
- b) The supply curve shifts to the left
- c) The supply curve becomes perfectly elastic
- d) The supply curve shifts to the right
Correct answer is option 'D'. Can you explain this answer?
What happens to the supply curve when production costs decrease?
a)
The supply curve remains unchanged
b)
The supply curve shifts to the left
c)
The supply curve becomes perfectly elastic
d)
The supply curve shifts to the right
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Shruti shukla answered |
Understanding Supply Curve Shifts
When production costs decrease, the supply curve experiences a significant shift. This can be attributed to the relationship between production costs and the willingness of producers to supply goods.
Impact of Decreased Production Costs
- Lower Costs: When production costs drop, producers can manufacture goods more efficiently and at a lower expense.
- Increased Profit Margins: With reduced costs, businesses can maintain or increase their profit margins even if they lower prices.
Shift of the Supply Curve
- Rightward Shift: The supply curve shifts to the right, indicating an increase in supply. This means that at every price level, producers are willing to offer more goods for sale.
- More Quantity at Same Prices: As a result of the rightward shift, consumers will find more products available at the same price points, which can lead to lower market prices.
Conclusion
In summary, a decrease in production costs leads to a rightward shift of the supply curve. This adjustment indicates that suppliers can provide more goods at existing prices, enhancing market supply and potentially benefiting consumers through lower prices.
When production costs decrease, the supply curve experiences a significant shift. This can be attributed to the relationship between production costs and the willingness of producers to supply goods.
Impact of Decreased Production Costs
- Lower Costs: When production costs drop, producers can manufacture goods more efficiently and at a lower expense.
- Increased Profit Margins: With reduced costs, businesses can maintain or increase their profit margins even if they lower prices.
Shift of the Supply Curve
- Rightward Shift: The supply curve shifts to the right, indicating an increase in supply. This means that at every price level, producers are willing to offer more goods for sale.
- More Quantity at Same Prices: As a result of the rightward shift, consumers will find more products available at the same price points, which can lead to lower market prices.
Conclusion
In summary, a decrease in production costs leads to a rightward shift of the supply curve. This adjustment indicates that suppliers can provide more goods at existing prices, enhancing market supply and potentially benefiting consumers through lower prices.
What does an upward sloping supply curve typically represent?- a) The impact of consumer demand on supply
- b) Increased supply at higher prices
- c) Decreasing production costs
- d) Supply remaining constant at all prices
Correct answer is option 'B'. Can you explain this answer?
What does an upward sloping supply curve typically represent?
a)
The impact of consumer demand on supply
b)
Increased supply at higher prices
c)
Decreasing production costs
d)
Supply remaining constant at all prices
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EduRev Class 10 answered |
An upward sloping supply curve represents the concept that as prices increase, the quantity supplied also increases, illustrating the direct relationship between price and the willingness to supply.
How does the price of a product affect its supply?- a) Price changes have no effect on supply
- b) Lower prices encourage more production
- c) Higher prices typically increase the quantity supplied
- d) Higher prices generally lead to lower supply
Correct answer is option 'C'. Can you explain this answer?
How does the price of a product affect its supply?
a)
Price changes have no effect on supply
b)
Lower prices encourage more production
c)
Higher prices typically increase the quantity supplied
d)
Higher prices generally lead to lower supply
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Kamna Science Academy answered |
According to the law of supply, as the price of a good increases, the quantity supplied also increases, reflecting the incentive for producers to maximize profits in response to higher prices.
Which type of goods typically exhibit perfectly elastic supply?- a) Homogeneous products
- b) Durable goods
- c) Perishable goods
- d) Luxury items
Correct answer is option 'A'. Can you explain this answer?
Which type of goods typically exhibit perfectly elastic supply?
a)
Homogeneous products
b)
Durable goods
c)
Perishable goods
d)
Luxury items
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EduRev Class 10 answered |
Perfectly elastic supply is often associated with homogeneous products, where even a tiny change in price can lead to an infinite change in quantity supplied due to the ease of substitutability.
Which of the following describes market period supply?- a) Supply can be increased by expanding production plants
- b) Supply cannot be changed at all due to time constraints
- c) Supply can be altered with more variable factors
- d) Supply is influenced solely by consumer demand
Correct answer is option 'B'. Can you explain this answer?
Which of the following describes market period supply?
a)
Supply can be increased by expanding production plants
b)
Supply cannot be changed at all due to time constraints
c)
Supply can be altered with more variable factors
d)
Supply is influenced solely by consumer demand
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Kamna Science Academy answered |
Market period supply refers to a situation where the supply of a commodity cannot be altered at all, even if prices increase, due to the immediate time constraints. This concept is essential in understanding short-term market behavior.
When producers are incentivized to produce a substitute good, what happens to the supply of the original commodity?- a) The supply remains unchanged
- b) Supply becomes perfectly inelastic
- c) The supply of the original commodity decreases
- d) The supply of the original commodity increases
Correct answer is option 'C'. Can you explain this answer?
When producers are incentivized to produce a substitute good, what happens to the supply of the original commodity?
a)
The supply remains unchanged
b)
Supply becomes perfectly inelastic
c)
The supply of the original commodity decreases
d)
The supply of the original commodity increases
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Nk Classes answered |
When producers shift their focus to producing substitute goods for higher profits, the supply of the original commodity decreases as resources are reallocated.
What does a decrease in supply indicate on a supply curve?- a) There is no movement on the curve
- b) A shift to the left of the entire curve
- c) An upward movement along the curve
- d) A shift to the right of the curve
Correct answer is option 'B'. Can you explain this answer?
What does a decrease in supply indicate on a supply curve?
a)
There is no movement on the curve
b)
A shift to the left of the entire curve
c)
An upward movement along the curve
d)
A shift to the right of the curve
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Nk Classes answered |
A decrease in supply is represented by a leftward shift of the entire supply curve, indicating that less quantity is supplied at all price levels.
What is the primary characteristic of the law of supply?- a) Supply increases when the price of a good rises
- b) Supply is constant regardless of price changes
- c) Supply decreases as demand increases
- d) Price and quantity supplied have a negative relationship
Correct answer is option 'A'. Can you explain this answer?
What is the primary characteristic of the law of supply?
a)
Supply increases when the price of a good rises
b)
Supply is constant regardless of price changes
c)
Supply decreases as demand increases
d)
Price and quantity supplied have a negative relationship
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|
Kamna Science Academy answered |
The law of supply indicates that, all else being equal, when the price of a good rises, the quantity supplied of that good also increases, reflecting a direct relationship between price and supply.
What is the effect of taxes on production supply?- a) They generally increase supply
- b) Higher taxes decrease the cost of production
- c) Taxes have no impact on supply decisions
- d) They may lead producers to reduce quantity supplied
Correct answer is option 'D'. Can you explain this answer?
What is the effect of taxes on production supply?
a)
They generally increase supply
b)
Higher taxes decrease the cost of production
c)
Taxes have no impact on supply decisions
d)
They may lead producers to reduce quantity supplied
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Kamna Science Academy answered |
Heavy taxes imposed on production can increase production costs, which may lead producers to reduce the quantity supplied at the current price level as their profit margins decrease.
What is the significance of the ceteris paribus assumption in supply analysis?- a) It negates the impact of price on supply
- b) It focuses solely on consumer preferences
- c) It assumes all other factors are constant except the price
- d) It allows for multiple factors to change simultaneously
Correct answer is option 'C'. Can you explain this answer?
What is the significance of the ceteris paribus assumption in supply analysis?
a)
It negates the impact of price on supply
b)
It focuses solely on consumer preferences
c)
It assumes all other factors are constant except the price
d)
It allows for multiple factors to change simultaneously
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Nk Classes answered |
The ceteris paribus assumption is crucial in supply analysis as it allows for the examination of the relationship between price and quantity supplied while holding other influencing factors constant.
How does the time horizon affect the elasticity of supply?- a) Supply is always elastic in the long run
- b) Supply elasticity varies with the nature of the commodity
- c) Supply tends to be more inelastic in the short run
- d) Supply is generally more elastic in the short run
Correct answer is option 'C'. Can you explain this answer?
How does the time horizon affect the elasticity of supply?
a)
Supply is always elastic in the long run
b)
Supply elasticity varies with the nature of the commodity
c)
Supply tends to be more inelastic in the short run
d)
Supply is generally more elastic in the short run
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Kamna Science Academy answered |
The elasticity of supply tends to be more inelastic in the short run because producers may not have enough time to adjust their production levels in response to price changes.
What does a perfectly inelastic supply curve indicate?- a) Quantity supplied remains constant regardless of price
- b) Producers can easily adjust their output
- c) Supply changes significantly with price changes
- d) Supply is very responsive to consumer demand
Correct answer is option 'A'. Can you explain this answer?
What does a perfectly inelastic supply curve indicate?
a)
Quantity supplied remains constant regardless of price
b)
Producers can easily adjust their output
c)
Supply changes significantly with price changes
d)
Supply is very responsive to consumer demand
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EduRev Class 10 answered |
A perfectly inelastic supply curve indicates that the quantity supplied remains constant regardless of price changes, suggesting that suppliers cannot adjust their output in response to price fluctuations.
Which of the following factors does NOT affect supply?- a) Prices of factors of production
- b) Technological advancements
- c) Consumer preferences
- d) Price of the product
Correct answer is option 'C'. Can you explain this answer?
Which of the following factors does NOT affect supply?
a)
Prices of factors of production
b)
Technological advancements
c)
Consumer preferences
d)
Price of the product
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|
Nk Classes answered |
While factors such as the price of the product, prices of production inputs, and technological advancements directly affect supply, consumer preferences are more related to demand than supply.
In terms of supply curves, what does the term "contraction" refer to?- a) An increase in supply due to price changes
- b) A decrease in the quantity supplied as price decreases
- c) An increase in the quantity supplied at all price levels
- d) A shift of the supply curve to the right
Correct answer is option 'B'. Can you explain this answer?
In terms of supply curves, what does the term "contraction" refer to?
a)
An increase in supply due to price changes
b)
A decrease in the quantity supplied as price decreases
c)
An increase in the quantity supplied at all price levels
d)
A shift of the supply curve to the right
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EduRev Class 10 answered |
Contraction refers to a decrease in the quantity supplied that occurs when the price of a good decreases, leading to a movement leftward along the supply curve.
What does the concept of the law of diminishing marginal productivity imply for producers?- a) Producers should always increase input regardless of output
- b) Higher production always leads to lower costs
- c) More input always results in proportionally higher output
- d) Each additional unit of input eventually contributes less to overall output
Correct answer is option 'D'. Can you explain this answer?
What does the concept of the law of diminishing marginal productivity imply for producers?
a)
Producers should always increase input regardless of output
b)
Higher production always leads to lower costs
c)
More input always results in proportionally higher output
d)
Each additional unit of input eventually contributes less to overall output
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Nk Classes answered |
The law of diminishing marginal productivity states that as more units of a variable factor are employed, the additional output produced from each unit will eventually decrease, leading to increased production costs. This understanding helps producers make informed decisions about resource allocation.
What distinguishes a change in quantity supplied from a change in supply?- a) Change in supply is related to consumer preferences
- b) Change in quantity supplied occurs due to price changes
- c) Change in supply refers to movements along a specific supply curve
- d) Change in quantity supplied involves a shift of the entire supply curve
Correct answer is option 'B'. Can you explain this answer?
What distinguishes a change in quantity supplied from a change in supply?
a)
Change in supply is related to consumer preferences
b)
Change in quantity supplied occurs due to price changes
c)
Change in supply refers to movements along a specific supply curve
d)
Change in quantity supplied involves a shift of the entire supply curve
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|
Kamna Science Academy answered |
A change in quantity supplied refers to movements along a specific supply curve due to price changes, while a change in supply involves a shift of the entire supply curve due to factors other than price.
What does the term "supply" refer to in economics?- a) The quantity of a commodity that producers are willing to sell within a specific time frame
- b) The total amount of goods produced in a year
- c) The total value of all goods in stock
- d) The amount of goods available for immediate purchase
Correct answer is option 'A'. Can you explain this answer?
What does the term "supply" refer to in economics?
a)
The quantity of a commodity that producers are willing to sell within a specific time frame
b)
The total amount of goods produced in a year
c)
The total value of all goods in stock
d)
The amount of goods available for immediate purchase
|
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Kamna Science Academy answered |
Supply refers specifically to the quantity of a commodity that producers are willing to sell to consumers within a given time period. It is about the willingness to sell rather than the actual sales that occur.
Which of the following is a factor that can lead to a decrease in supply?- a) A reduction in taxes
- b) A rise in the price of the product
- c) A technological advancement in production
- d) An increase in the price of input materials
Correct answer is option 'D'. Can you explain this answer?
Which of the following is a factor that can lead to a decrease in supply?
a)
A reduction in taxes
b)
A rise in the price of the product
c)
A technological advancement in production
d)
An increase in the price of input materials
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EduRev Class 10 answered |
An increase in the price of input materials can lead to a decrease in supply because higher production costs can limit the quantity that producers are willing to supply at existing price levels.
What is a supply schedule?- a) A document outlining government regulations on supply
- b) A list of available commodities in the market
- c) A chart that depicts total production costs
- d) A table that shows the relationship between price and quantity supplied
Correct answer is option 'D'. Can you explain this answer?
What is a supply schedule?
a)
A document outlining government regulations on supply
b)
A list of available commodities in the market
c)
A chart that depicts total production costs
d)
A table that shows the relationship between price and quantity supplied
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|
Nk Classes answered |
A supply schedule is a table that illustrates the positive relationship between the price of a commodity and the quantity supplied. It helps visualize how supply changes with varying prices.
What is a characteristic of relatively elastic supply?- a) Quantity supplied changes more than price changes
- b) Producers cannot adjust production levels
- c) Supply is completely unresponsive to price changes
- d) Quantity supplied changes less than price changes
Correct answer is option 'A'. Can you explain this answer?
What is a characteristic of relatively elastic supply?
a)
Quantity supplied changes more than price changes
b)
Producers cannot adjust production levels
c)
Supply is completely unresponsive to price changes
d)
Quantity supplied changes less than price changes
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|
EduRev Class 10 answered |
Relatively elastic supply means that the percentage change in quantity supplied is greater than the percentage change in price, indicating a high responsiveness of supply to price changes.
Chapter doubts & questions for Supply - Economics for Grade 9 2025 is part of Grade 9 exam preparation. The chapters have been prepared according to the Grade 9 exam syllabus. The Chapter doubts & questions, notes, tests & MCQs are made for Grade 9 2025 Exam. Find important definitions, questions, notes, meanings, examples, exercises, MCQs and online tests here.
Chapter doubts & questions of Supply - Economics for Grade 9 in English & Hindi are available as part of Grade 9 exam.
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Economics for Grade 9
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