A supply curve is positively sloped because

  • A supply always exceeds demand
  • B demand always exceeds supply
  • C price is an incentive to consumers
  • D price is an incentive to producers
jamb 2009economics

The correct answer is D. price is an incentive to producers

A supply curve is positively sloped because as the price of a commodity increase in the market, the amount supplied increases. Producers will be wiling to supply more of their products as prices increase.

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