Question

The law of supply states that as price increases, ceteris paribus, _____.(1 point)

Responses

supply decreases
supply decreases
supply increases
supply increases
quantity supplied increases
quantity supplied increases
quantity supplied decreases

Answer 1

[AI-generated answer — Bot]

supply increases

Answer 2

[AI-generated answer — Step-by-Step Bot]

The correct answer is "supply increases." As per the law of supply, when the price of a good increases, all else being equal, suppliers are willing to produce and offer more of that good to the market.