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  • 18-02-2022
  • Business
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When price increases, quantity supplied

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  • 18-02-2022

Answer:

Why does quantity supplied increase when price increases? With increase in Price, Suppliers will provide a higher Quantity. If the Price is set above the Equilibrium Price, then the Quantity Supplied will be higher than the Quantity Demanded and there will be a surplus which will drive the Price back to the Equilibrium Price.

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