Multiple Choice
On the diagram to the right, movement along the supply curve from points a to b to c illustrates which of the following?
3. The Market Forces of Supply and Demand
Movement Along a Supply Curve
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Join thousands of students who trust us to help them ace their exams!Watch the first videoMultiple Choice
In moving along a supply curve, which of the following is not held constant?
A
Number of sellers
B
Input prices
C
Technology
D
The price of the good itself
Verified step by step guidance1
Understand that a supply curve shows the relationship between the price of a good and the quantity supplied, holding other factors constant.
Identify the factors typically held constant when moving along a supply curve: number of sellers, input prices, and technology are all assumed fixed.
Recognize that when moving along the supply curve, the only variable that changes is the price of the good itself.
Therefore, the price of the good is not held constant when moving along the supply curve; it changes to show how quantity supplied responds.
Conclude that the correct answer is the price of the good itself, as it is the variable that changes along the supply curve, while other factors remain constant.
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