The Supply Curve

The Supply Curve

• The supply curve is a representation between the price of a product and the quantity that is supplied
• Price is on the y axis, quantity supplied is on the x.

• The data for which a supply curve is derives is taken from a supply schedule
• This is a data set which shows how much of a product is likely to be supplied over a range of prices

Obtaining this data is easier than for a demand schedule, as

• Here we have assumed that there is only one supplier of self-catering holidays to Ibiza in June
  • In other words, the supply curve is also the market supply curve
• If there is more than one supplier, the market supply curve is the sum of the individual supply curves of all producers.