Graphically,what is the effect of a decrease in the price of a product?
A)A leftward movement on the supply curve.
B)A rightward movement on the supply curve.
C)A leftward shift in the supply curve.
D)A rightward shift in the supply curve.

Question

Quizplus · Accepted Answer

A decrease in the price of a product results in a movement along the supply curve, not a shift of the curve itself. This movement is towards the left because suppliers are willing to supply less of the product at lower prices.

Graphically,what Is the Effect of a Decrease in the Price