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Difference between expansion in supply and …

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Difference between expansion in supply and increase in supply

Posted by Kundanika Joshi 6 years, 11 months ago

CBSE > Class 11 > Economics

2 answers

Japnoor Kaur 6 years, 11 months ago

Expansion in supply- when the quantity supplied of a commodity increases due to fall in price , it is referred to expansion in supply .. it leads to upward shift in supply curve .. Increase in supply - when the supply of a commodity increases due to the factor other than price of own commodity , it is referred to increase in supply ..it leads to rightward shift in supply curve

Yogita Ingle 6 years, 11 months ago

Increase in supply: It is due to technological advancement, decrease in input prices, decrease in unit tax, decrease in prices of other related goods and the prices of the good remaining constant.
Extension in supply: With an increase in prices of the good, the other determinants of supply will remain constant.

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