1. What producers are willing to sell
Supply
What producers are willing to sell

2. Quantity Supplied
Specific amounts of goods and services for sale at specific prices

3. Law of Supply
Law of Supply- refers to the relationship between price and the quantity of a good or service that firms are willing to produce. The higher the price of the product leads to more supplies and more companies making the product.
Price
As price increases…
Supply
Quantity supplied increases
Price
As price falls…
Supply
Quantity supplied falls

4. Supply Curve

5. Supply vs. Quantity Supplied
What
does it
look
like?
Price
Price (P) S1 S S2 P2 P1 Q1 Q2
Quantity
Quantity

6. Plot Supply Supply of T-Shirts Price Quantity $5 50 $10 100 $15 200
$20
500
$25
700
$30
800
$40
1000
Supply of I-Phone 6
Price
Quantity
$300
1000
$400
2000
$500
5000
$600
10,000
$700
15,000
$800
20,000

7. Supply of Stuffed Animals
Supply of King Sized Candy Bars
Supply of Stuffed Animals
Price
Quantity
$.50
$1.00
500
$1.50
750
$2.00
1000
$2.50
1500
$3.00
2000
Price
Quantity $5
$10
100
$15
200
$20
300
$25
400
$30
500
$35
600