A decrease in quantity supplied due to a fall in price results in which type of movement on the supply curve?

Study for the GCSE Economics Exam with comprehensive flashcards and multiple choice questions. Each question includes hints and detailed explanations. Prepare thoroughly for your exam!

A decrease in quantity supplied due to a fall in price results in a downward movement along the supply curve. This is because the supply curve illustrates the relationship between the price of a good and the quantity that producers are willing to supply. When the price decreases, producers are typically less incentivized to supply the same quantity of goods, leading them to reduce their output. This situation is represented graphically by moving downwards along the curve to a lower quantity supplied at a lower price, rather than indicating a shift of the curve itself, which would imply a change in production factors or costs. Hence, the downward movement effectively captures the response of quantity supplied to the change in price.

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