Question

Identify the incorrect statement from the following:

Options

• Supply is always stated with reference to some price.

• The amount supplied of a commodity will be different at different prices.

• Supply is related to point of time.

• Supply is different from stock.

Answer 1

Supply is related to point of time.

Explanation:

• Supply is related to a period, not a point of time. Supply refers to the quantity of a good that producers are willing and able to sell over a specific period, such as a day, a month, or a year. It's not a static measure at a single moment but rather over a duration.

• The other statements are correct:

  • (a) Supply is always stated with reference to some price.
  • (b) a commodity's supply will be different at different prices.
  • (d) Supply differs from stock; stock refers to the total quantity available, while supply refers to the quantity offered for sale at a given price.