Economy, asked by priyanshi7351, 1 year ago

difference between decrease in supply and contraction in supply

Answers

Answered by GovindRavi
10
Decrease in supply is a situation occur when there is a change in own price of commodity or by other determinants like Price of Related goods , Number of Firms , Goal of Firms , cost of production factor , Goverment taxation Policy , Technology improvement etc which affects or influence the supply of a given commodity .

Decrease in supply is either reperesnt by movement along a supply ( contraction) curve or by shifts ( Backward shift )...

On the other hand, Contraction in supply is a situation which occurs only by decreasing the own price of commodity...Other factor remain constant here...

priyanshi7351: uhh ne dono differentiate kiya h
Answered by kamal9999
3
TY TY TYVM ............
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