Question

the law of supply states that as price increases, ceteris paribus, ______. (1 point)
○ quantity supplied decreases
○ supply decreases
○ supply increases
○ quantity supplied increases

Explanation:

The law of supply describes the direct relationship between the price of a good and the quantity of that good producers are willing to sell, assuming all other factors (ceteris paribus) remain constant. A change in price leads to a change in quantity supplied (a movement along the supply curve), not a shift in the entire supply curve (which is caused by non-price factors).

Answer:

quantity supplied increases