Law of SupplyPresented by

Muhammad Husnain bhayo

Law of supply

When the price of anything increase, its increases quality brought to sale. on the contrary, When the price decrease, less

amount is offered for sale. Other thing are being equal

S.No Item Price Qty Amount1 Mob 1000 100 1000002 Com 2000 200 4000003 Net 2500 300 7500004 Home 3000 400 12000005 Car 4000 500 2000000

Qty/Supplies

0

500000

1000000

1500000

2000000

2500000

S.No 1 2 3 4 5

Amou

nt

Qty/Supplies

Qty/Supplies

Qty/Supplies

Qty/Supplies

Qty/Supplies

1st condition of demand supply

2nd condition of Quantity Supply

S.No Item Price Qty Amount1 Mob 4000 500 20000002 Com 3000 400 12000003 Net 2500 300 7500004 Home 2000 200 4000005 Car 1500 100 150000

Qty/Supplies

0

500000

1000000

1500000

2000000

2500000

S.No 1 2 3 4 5

Qty/Supplies

Qty/Supplies Qty/Supplies Qty/Supplies

Qty/Supplies Qty/Supplies

Cost of production

The cost of production can be change the supply it is because of introduction of better technology in production function

Import and Export

If the imports increase in a country due to any reason, they will increase supply. On the country, export from

the country can reduce the supply in the local economy.

Tax PolicyIf the government increases taxes on production, the supply can be decreased. Similarly, if the tax is increase on profit the supply will decrease due to discouragement of the producer.

MonopoliesIn monopolies only one producer or a single producer have

exclusive right of selling a community.

Seasonal Condition

Seasonal conditions play an important role in case of supply of agriculture goods like decrease in rainfall,

floods, and other natural climates can damage damage crops and the supply of agriculture item may fall.

Means of Transportation

Rails, Roads, Ships, Planes, Water ways, are the means of transport if they are modern in abundance the chance of

increase in supply are increase.

Peace and Order

Political peace and order is must for the development of economic and productive activities. If the investors are cautious

to invest due to sense of insecurity. The production and the supply will be reduce.