12th Class Economics Sample Paper Economics - Sample Paper-7

  • question_answer
    Distinguish between change in quantity supplied and change in supply.

    Answer:

    Difference between change in quantity supplied and change in supply are:
    Basis Change in Quantity Supplied Change in Supply
    Reason Change in quantity supplied is caused by change in the price of commodity. Change in supply is caused by factors other than price of commodity
    Effect on supply curve Change in quantity supplied causes movement in supply curve. Change in supply causes shift in supply curve.
    Constant factor All the factors, other than price, are constant. Price is assumed to be constant, while all other factors may change.
    Example  When price of salt rises from Rs.18 per kg to Rs.20 per kg quantity supplied rises from 4 tonnes to 7 tonnes. When price of input of salt rises from Rs.4 to Rs.6, quantity supplied falls from 7 tonnes to 5 tonnes even at same price of salt.


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