Question

Use the term quantity supplied correctly in a sentence. Use the word supply correctly in a sentence.

Short answer

For 'quantity supplied', the sentence is: 'The bakery determined that the quantity supplied of bread would be 100 loaves per day at a price of $2 per loaf.' For 'supply', the sentence is: 'The supply of apples in the market dramatically increased due to a fruitful harvest season.'

Step-by-step solution

Use 'quantity supplied' in a sentence

To use the term 'quantity supplied' in a sentence, think about a specific, hypothetical or real, scenario in which a producer is offering a certain amount of a product for sale. For example, the sentence could be: 'The bakery determined that the quantity supplied of bread would be 100 loaves per day at a price of $2 per loaf.'

Use 'supply' in a sentence

To use the term 'supply' correctly in a sentence, consider a scenario where you can speak about the overall amount of a good or service in the market. For instance, the sentence could be: 'The supply of apples in the market dramatically increased due to a fruitful harvest season.'

Key concepts

Economic Supply Concept

Understanding the economic supply concept is crucial for grasping the fundamentals of how markets operate. Supply refers to the total quantity of a product or service that is available for purchase at any given price point. When discussing the economic supply, it's important to consider the law of supply which states that, typically, an increase in price leads to an increase in the quantity supplied, and vice versa.

One common misconception is confusing 'quantity supplied' with 'supply'. The 'quantity supplied' is the specific number of units that producers are willing to sell at a given price during a certain period. In contrast, 'supply' is the relationship between price and the quantity supplied, often represented graphically as a supply curve. This subtle distinction is a key concept in microeconomics that affects how we analyze market dynamics and producer behavior.

In essence, the economic supply concept is embedded in the decision-making processes of producers and the responsiveness of the amount of goods or services they're willing to make available in the market to changes in price.

Using Economic Terms

Applying and using economic terms correctly is essential for effective communication within the field of economics, and for understanding the subject as a whole. When economists discuss 'supply', they're often referring to one side of the market equation, the other being 'demand'. To use 'supply' accurately in a sentence, one must be referring to the general availability of a commodity or service within the market.

It is also important to use terms appropriately depending on the context. For example, if discussing a specific quantity available at a specific price, 'quantity supplied' should be used. However, if discussing the broader concept of market availability without reference to quantity or price, 'supply' is the more appropriate term. This nuanced usage is essential for conveying accurate analysis and fostering clear understanding of market theories and principles in economics.

Microeconomics Vocabulary

Microeconomics vocabulary encompasses a range of terms that are used to describe the behavior of individuals and firms in making decisions regarding the allocation of scarce resources. Terms such as 'supply' and 'demand', 'elasticity', 'marginal utility', and 'opportunity cost' are the building blocks of microeconomic theory.

Grasping this vocabulary is not just about memorization; it's about understanding the concepts they represent. For instance, 'elasticity' measures how responsive the quantity demanded or supplied is to a change in price. 'Marginal utility' refers to the additional satisfaction or utility that a consumer receives from consuming one more unit of a good or service. 'Opportunity cost', on the other hand, reflects the value of the best alternative that is forgone when a choice is made. These terms and others help economists explain complex economic interactions and guide businesses and consumers in their decision-making processes.

Using these terms accurately requires a nuanced understanding of their meanings and the contexts in which they apply. Through clear and precise language, complex economic theories and models are made accessible to students, policy-makers, and industry professionals alike.