At any given quantity, the height of the supply curve for elephant ivory shows the:
A) willingness to pay of the marginal supplier
B) willingness to pay of the marginal buyer
C) value to the consumer of the last unit of elephant ivory bought
D) cost of the marginal seller

Question

Quizplus · Accepted Answer

The height of the supply curve represents the cost of producing the last unit of elephant ivory sold, which is the cost of the marginal seller. The willingness to pay of the marginal supplier, the willingness to pay of the marginal buyer, and the value to the consumer of the last unit bought are not factors that determine the height of the supply curve.

At Any Given Quantity, the Height of the Supply Curve