CBSE Class 12 Economics Producers Behaviour and Supply

Read and download CBSE Class 12 Economics Producers Behaviour and Supply chapter in NCERT book for Class 12 Other Subjects. You can download latest NCERT eBooks for 2021 chapter wise in PDF format free from This Other Subjects textbook for Class 12 is designed by NCERT and is very useful for students. Please also refer to the NCERT solutions for Class 12 Other Subjects to understand the answers of the exercise questions given at the end of this chapter

Meaning of supply
Supply means the quantity of a commodity which a firm or an industry is willing to produce at a particular price, during a given time period.

Law of supply

This law states that 'other things remaining the same', an increase in the price of a commodity leads to an increase in its quantity supplied. Thus, more of a commodity is supplied at higher prices than at lower prices.

This law can be explained with the help of a supply schedule and curve.

A supply schedule is a table which shows the quantities of a commodity supplied at various prices during a given time period.

CBSE Class 12 Economics-Producers Behaviour and Supply

As the price increases from Re. 1 to Rs. 3, the supply also rises from 100 units to 300 units, in response to the rising price. What is the basis of the law of  upply? Other things remainingthe same, an increase in price results in higher profits for the producer. The higher the price of the commodity, the greater are the profits earned by the firms and the greater is the incentive to produce more. Similarly when the price falls, profits decline, resulting in a decrease in quantity supplied of the commodity. Thus the price and quantity supplied of a commodity are directly related, other things remaining the same.

‘Change in supply’ versus ‘change in quantity supplied’

(‘shift of supply curve’ versus ‘movement along a supply curve’)

The supply of a commodity depends on its own price and 'other factors' like input prices, technique of production, prices of other goods, goals of the firm, taxes on the commodity etc.

Movement along a supply curve

The law of supply states the effect of a change in the own price of a commodity on its supply, other things remaining constant. The supply curve also carries the same assumption. Thus whenot her factors influencing supply do not change, and only the own price of the commodity changes, the

Please refer to the link below for - CBSE Class 12 Economics-Producers Behaviour and Supply



Click to View or Download pdf file
Click for more Other Subjects Study Material

Latest NCERT & CBSE News

Read the latest news and announcements from NCERT and CBSE below. Important updates relating to your studies which will help you to keep yourself updated with latest happenings in school level education. Keep yourself updated with all latest news and also read articles from teachers which will help you to improve your studies, increase motivation level and promote faster learning

CBSE Assessment Framework

The Central Board of Secondary Education (CBSE) today, announced a suggested competency-based assessment framework to strengthen India’s existing school education system for secondary level (classes 6-10) and improve the overall learning outcomes of students across...

Class 10 Boards Cancelled Class 12 postponed

Looking to the present situation of the pandemic and school closures, and also taking in account the safety and well-being of the students, it is decided as follows:   1. The Board Exams for Class XIIth to be held from May 4th to June, 14th, 2021 are hereby postponed....

Latest CBSE Syllabus for 2021 2022 PDF Download

Latest Syllabus for Class 12 for 2021 2022 Latest Syllabus for Class 11 for 2021 2022 Latest Syllabus for Class 10 for 2021 2022 Latest Syllabus for Class 9 for 2021 2022 CBSE has issued the latest syllabus for the academic year 2021 2022 which is applicable for all...

Time management for CBSE students

The first thing to learn about Time Management is that time is theoretical so you can’t really manage it. What you do when you get into time management, is that you manage yourself. You decide what has to be done, when it must be done and how to do it in the stipulated...

ICSE Board Exams Cancelled

The ICSE (Class X) 2021 Examination: Given the present worsening situation of the Covid- 19 Pandemic in the country, the CISCE has decided to CANCEL the ICSE (Class X) 2021 Examination. The options given in the earlier Circular dated 16th April 2021, now stands...

Studies Today