In a standard supply and demand graph, which point typically represents the lowest quantity supplied of goods?

• A. The point where the supply curve intersects the demand curve
• B. The midpoint of the supply curve
• C. The point where the supply curve intersects the vertical axis (price axis)
• D. The point where the demand curve intersects the horizontal axis (quantity axis)

Answer: (C)

Verified step by step guidance

1. Understand the supply curve: It typically slopes upward from left to right, indicating that as price increases, quantity supplied increases.
2. Identify the vertical axis on the graph, which represents price, and the horizontal axis, which represents quantity.
3. Recognize that the supply curve intersects the vertical (price) axis at the point where quantity supplied is zero because suppliers are not willing to supply any goods at a price of zero.
4. Note that the lowest quantity supplied on the supply curve is at this intersection with the price axis, as quantity supplied cannot be negative and increases as price rises.
5. Contrast this with the equilibrium point (where supply and demand curves intersect) and other points on the supply curve, which represent higher quantities supplied.