See exhibit 5 5a but what factors can cause a change

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Unformatted text preview: e moves either right or left. See Exhibit 5-5(a). But what factor(s) can cause a change in quantity supplied ? Only one: price. For example, the only thing that can cause sellers to change their quantity supplied of computers is a change in the price of computers. A change in quantity supplied is shown as a movement along a given supply curve. See Exhibit 5-5(b). Many people are, at first, confused about what leads to a change in quantity supplied and what leads to a change in supply. To many, it seems as if changes in quantity supplied and supply are the same thing. To make sure you understand the difference, let’s look back at a couple of examples in this chapter. Turn back to Exhibit 5-1 on page 115 and look at point A. There you see a price of $1 and a quantity supplied of 10. Now ask yourself what must happen before you can move from quantity supplied of 10 EXH I BIT 5-5 On March 21, 2005, Dell Computers opened its third Call Center in India. (A Call Center is a place where people who have purchased Dell computers call if they have technical p...
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