Supply
What is Supply? Types of
supply?
Supply refers to the quantity of goods and services that the seller has the willingness
and able to sell the commodity at a given price during a particular period of time. It
shows how much of the producers are ready to give to the market. If the price is high
the producer will increase the supply and if the price is low producer will decrease the
supply.
Types of Supply
1.Individual Supply
Individuals supply refers to the quantity of goods and services that a single seller or
producer has the willingness and able to sell the commodity at a different price during
a particular period of time. For eg there is a farmer called Ravi he has the willingness
and able to sell 10kg of apples at Rs 50 and 20 kg of apples at Rs 100.
So this is Ravi’s individual supply.
2.Market supply
Market supply refers to the quantity of goods and services that all the sellers and pro-
ducers in the market has the willingness and able to sell the commodity at a different
Price during a particular period of time. For eg there is 100 farmers like Ravi if the to-
gether will supply 1000kg of apple at Rs 50 and 2000kg of apple at Rs 100 so this is
market supply.
3.Short Run Supply
In Short Run supply a producer can give some things cannot be changed quickly like
(land, factories, and machines). In short run supply only small changes can be made
like hiring more workers, using machines for long hours. In short run supply resources
are fixed.
4.long Run Supply
In long run supply a producer can give when all things are changed. Producer can buy
new machines, expand factories, and exit and entry new firm where supply can adjust.
5.Joint Supply
When two goods are produced from the same resources like from petrol we can pro-
duce diesel and crude oil.
Factors affecting supply.
1.Goal of the firm=
Goal of the firm influenced the amount of goods that the producer are willing to sup-
ply. The main goal of the firm is profit maximisation, growth and customer satisfaction.
2.Price of the goods
When the price of the good will increase the producer will increase the supply. When
the price of the goods will decrease the producer will decrease the supply.
What is Supply? Types of
supply?
Supply refers to the quantity of goods and services that the seller has the willingness
and able to sell the commodity at a given price during a particular period of time. It
shows how much of the producers are ready to give to the market. If the price is high
the producer will increase the supply and if the price is low producer will decrease the
supply.
Types of Supply
1.Individual Supply
Individuals supply refers to the quantity of goods and services that a single seller or
producer has the willingness and able to sell the commodity at a different price during
a particular period of time. For eg there is a farmer called Ravi he has the willingness
and able to sell 10kg of apples at Rs 50 and 20 kg of apples at Rs 100.
So this is Ravi’s individual supply.
2.Market supply
Market supply refers to the quantity of goods and services that all the sellers and pro-
ducers in the market has the willingness and able to sell the commodity at a different
Price during a particular period of time. For eg there is 100 farmers like Ravi if the to-
gether will supply 1000kg of apple at Rs 50 and 2000kg of apple at Rs 100 so this is
market supply.
3.Short Run Supply
In Short Run supply a producer can give some things cannot be changed quickly like
(land, factories, and machines). In short run supply only small changes can be made
like hiring more workers, using machines for long hours. In short run supply resources
are fixed.
4.long Run Supply
In long run supply a producer can give when all things are changed. Producer can buy
new machines, expand factories, and exit and entry new firm where supply can adjust.
5.Joint Supply
When two goods are produced from the same resources like from petrol we can pro-
duce diesel and crude oil.
Factors affecting supply.
1.Goal of the firm=
Goal of the firm influenced the amount of goods that the producer are willing to sup-
ply. The main goal of the firm is profit maximisation, growth and customer satisfaction.
2.Price of the goods
When the price of the good will increase the producer will increase the supply. When
the price of the goods will decrease the producer will decrease the supply.
