Why does the market supply curve slope upward?

Answer 1

Price on the Y-axis is the price consumer is ready to pay for a certain good. As the market price increases, it is more profitable for a company to produce higher quantities. This price should not be confused with the cost price. Cost price typically goes down as the quantities go up due to economies of scale.

Answer 2

The supply curve for labor is upward sloping because as prices rise more of the products become available. People buy less products when they see inflation occurring which leads to more of a supply.

Answer 3

The firm's supply curve generally is positively-sloped due to the law of supply, which states that as production increases, so does price. Mathematically, this relationship is a function of marginal cost, which is variable based on the type of good and market. However, more often than not, goods have increasing marginal costs as more units are produced, spiking price as more quickly as production approaches larger values.

Answer 4

The labour supply curve is upward sloping because labourers provide more labour as wages increase, not as wages fall.

Answer 5

Because no matter what if something costs more there will be more available. So the high end is farther out and the low end will be close to the origin.

Answer 6

Because for a normal good, as price increases, demand decreases as consumers will look for a substitute good or decide that the good is not worth the money.