When a network has a fixed capacity, the corresponding supply curve is
A) upward sloping.
B) downward sloping.
C) vertical.
D) horizontal.

Question

Quizplus · Accepted Answer

When a network has a fixed capacity, it means that the supply cannot be increased regardless of the price. This situation is represented by a vertical supply curve, indicating that the quantity supplied remains constant at all price levels.

When a Network Has a Fixed Capacity, the Corresponding Supply