A line which is drawn on a graph that shows how much of a good which sellers are willing to supply at different prices

A line which is drawn on a graph that shows how much of a good which sellers are willing to supply at different prices

• A. Demand curve
• B. Equilibrium price
• C. Supply curve
• D. Supply

Answer: (C)

Understanding the relationship between price and quantity supplied is captured by the supply curve. It’s the line drawn on a graph that shows how much sellers are willing to offer for sale at different prices, holding other factors constant. The curve usually slopes upward because higher prices provide an incentive for producers to supply more, reflecting the law of supply.

The term “equilibrium price” refers to the price where the quantity supplied equals the quantity demanded, not the entire relationship of supply across prices. The demand curve, on the other hand, shows how much buyers are willing to purchase at different prices, not how much sellers are willing to supply. And simply “supply” refers to the total quantity available, not the plotted relationship across prices.