In microeconomics, what information does a supply schedule provide?

• A. A description of how consumer income changes affect the quantity demanded of a good
• B. A list or table showing the quantity of a good consumers are willing and able to buy at various prices, holding other factors constant
• C. A list or table showing the quantity of a good producers are willing and able to supply at various prices, holding other factors constant
• D. A statement of the equilibrium price and equilibrium quantity that will prevail in the market

Answer: (C)

Verified step by step guidance

1. Understand that a supply schedule is a fundamental concept in microeconomics used to represent the relationship between price and quantity supplied.
2. Recognize that the supply schedule is typically presented as a list or table showing different prices and the corresponding quantities that producers are willing and able to supply at those prices.
3. Note that the supply schedule assumes other factors affecting supply (like technology, input prices, and number of sellers) are held constant, isolating the effect of price changes on quantity supplied.
4. Distinguish the supply schedule from a demand schedule, which shows quantities consumers are willing to buy at various prices, and from concepts related to consumer income or market equilibrium.
5. Conclude that the supply schedule provides information specifically about producers' behavior in response to price changes, helping to analyze how quantity supplied varies with price.