Gujarat BoardEnglish MediumSTD 11 CommerceEconomicsSupply2 Marks
Question
Explain the difference between expansion of supply and increase in the supply.
✓
Answer
If all other factors remain constant and price of a commodity increases, the supply increases and this increase is called expansion. While if supply increases because of other factors except price, it is called increases in supply. In other words, expansion of supply is caused by increase in price while increase in supply is caused by other factors expect price.
Need a full question paper?
Generate a complete, print-ready paper with questions like this in minutes — across 16+ boards, with answer keys.