Want this question answered?
Yes, it does.
As quantity supplied goes up, price goes down. This is because the supply function is downward sloping. Thus, the relationship is inverse.
direct
The quantity theory of money-fisher's version states that the money supply has a proportional and direct relationship with the price level.
Supply curve shows relationship between price of the particular commodity and the quantity supplied of that commodity at different price level.
Yes, it does.
As quantity supplied goes up, price goes down. This is because the supply function is downward sloping. Thus, the relationship is inverse.
direct
The quantity theory of money-fisher's version states that the money supply has a proportional and direct relationship with the price level.
Supply curve shows relationship between price of the particular commodity and the quantity supplied of that commodity at different price level.
The market supply curve shows the amount of goods/services produced at any given price. There is a direct relationship between output and price. That is, if the price of goods and services is high, then sellers will produce a large number of goods and services. Conversely, if the price of goods/services is low, then output will also be low.
I take it you mean what is the relationship of supply and demand. As the supply goes up the price will come down. As the demand goes up the price will go up. If the supply and demand are in balance the price will stay the same.
if the supply is low and the demand is high, then the price of the good will be high. if there is high supply but low demand, then the price will be low. the price of a good or service is determined by the relationship between supply and demand. look for any basic macro or micro economics books and it should give you a very good explanation on the subject also pay attention to the graphs of supply and demand and you will get a better understanding of the relationship between supply and demand.
If supply of a commodity decreases, the supply will fall. Prices and supply of good have positive relationship.
Supply curve
Supply Schedule- A table showing the relationship between the price of a good and the quantity supplied.
It is a direct relationship. As demand for an item rises, all else equal, price for an item will rise.