G Supply Question 1 (20 points)
What is the principle of the Law of Supply?
a
Ob
The lower the price, the larger the quantity produced.
The higher the price, the larger the quantity produced.
The lower the price, the more manufacturers will produce the good.
The higher the price, the smaller the quantity produced.
C С
d
Question 2020 points)

The higher the price, the larger the quantity produced.

Explanation:

The Principle of the Law of Supply has nothing to do with Law. It relates to economics.

A good case to illustrate the Law of Supply would be Apple iPhones. Prices remained very high therefore, the quantity was LARGE.

Conversely, during the pandemic people were not spending and out of jobs. Apple responded with a much affordable iPhone. *Everything is driven by market forces.

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