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CAIE IGCSE Economics 2.3.1 Individual & market supply

Read firm and market supply diagrams to explain willingness and ability to sell at each price, then combine individual producers' quantities into total market supply.

Syllabus
2027–2029
Course
Economics 0455

Exam points

  • Define supply as willingness and ability to sell a quantity at a given price and time.
  • Distinguish one firm's supply from the total quantity offered by all firms in the market.
  • Interpret an upward-sloping curve by linking a higher price to greater quantity supplied.

2.3.1—Individual and market supply question 1

[Maximum number: 2]

Davos is a ski resort in Switzerland famous for hosting a world economic conference for leaders from both private and public sectors. Topics discussed usually relate to global economic development. Hospitality firms in Davos depend on seasonal migrant labour, especially when they want to increase the supply of goods and services quickly.

Define supply.

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