What do the points on a market supply curve represent?

• A. The quantity of a good that producers are willing and able to sell at each possible price
• B. The equilibrium price and quantity in the market
• C. The maximum price consumers are willing to pay for a good
• D. The total demand for a good at each possible price

Answer: (A)

Verified step by step guidance

1. Understand that a market supply curve graphically represents the relationship between the price of a good and the quantity that producers are willing and able to sell.
2. Recognize that each point on the supply curve corresponds to a specific price level on the vertical axis and the quantity supplied at that price on the horizontal axis.
3. Recall the definition of supply in microeconomics: it is the quantity of a good that producers are willing and able to sell at various prices, holding other factors constant.
4. Distinguish supply from demand: supply relates to producers' behavior, while demand relates to consumers' willingness to buy.
5. Conclude that points on the market supply curve represent the quantity of a good that producers are willing and able to sell at each possible price.