Question

Study the table and examine the relation between price and quantity supplied:

Price (₹)	Quantity supplied (kgs)
10	5
12	7
14	9

Options

• Positive

• Negative

• Indirect

• Proportional

Answer 1

Positive

Explanation:

According to the law of supply, there is a positive relationship between price and quantity supplied. When all other factors remain unchanged, an increase in the price of a commodity leads to an increase in its quantity supplied, and a decrease in price results in a decrease in quantity supplied.