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What is meant by contraction of supply? - Economics

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Question

What is meant by contraction of supply?

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Solution

When a fall in the own price of a commodity leads to a decrease in the quantity supplied of a commodity, it is called contraction of supply.

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Chapter 3: Theory of Supply - QUESTION BANK [Page 75]

APPEARS IN

Goyal Brothers Prakashan Economic Applications [English] Class 10 ICSE
Chapter 3 Theory of Supply
QUESTION BANK | Q 12. | Page 75
R. K. Lekhi and P. K. Dhar Economics [English] Class 12 ISC
Chapter 6 Supply and Law of Supply
TEST QUESTIONS | Q A. 10. | Page 6.17
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