+l 4 “the cndiuay Senge. yiiitiaal tem. “cupphy”istuken- los the ‘atock’S of ot commodity —crvatil lable cot the BES isn. But tn ~ econormicé, the. temn —s “cupply’ sho a fee ee ea ~— 9 /Glock te the fotul_svolume of ot commadity- obich Ee ‘coin_be- femough} tin the maaket far —sale— ake the quent hort notice, wherens, supply: mean lia eet heought in the magket sana ade >In choot rok ta ooterdtiol Gunphy , abile np to the pret of alock of she commodity —cobich "7 TOs sale ins the | ynaake Fines bri é 7d ae ands ~____ te of Pow ah of 2 Glock’ fra Ue Sy the jak cl given Paice = : faeces hall amount a ‘covornnd bsought the mararket le given orice. a f Eg > [Supa means dhe quantity supplied at 0 give % d L nit of dirne y i xiDete cron pple TACT Phoching Netuaso Fotetors i. tof ProductionPolitical Stability [Tnducdaial "ageast . x (Lmprrovemen} in the foesials sea Front Tees nd Subst i a ‘Nedusal fetoxs + [oe eee ome eae et --dacughts pests._plat de iia odue fi rioilicealas vamadtk ced-tuaply ion_of agrict co! ema, Pe sclngiuicodad cind its _cupphy eleo by a ing the paoduction aeculhs im P goods cind co: _ et _ = _ ail =a L MN. ea (Cos of eae she BA Gost of production is cinothes_impechunt ferclor effecting ithe Supely ot cy Commodity. Pali Inet! Age Hhe vices of arias wnttesiale cnd the paices ofthe le PEL i ; 6S = Hin a fall in the cupply of g This coould howe cm cidverse: effect on paoduction aesubting goods ind commodities —_ Fiat : —_ re industariol eprsogsess in or Se ete aN Se aieege teal aioe St RO er OMENS eal Thas_fon_evcnge_ mp Hone tmngroved_technigues.tmpaovement tr labows_-——1v [Tnpaement tn [ Femaportcind ee Quick nd Aiton jens of a pan ounicerkinr by _ foal the movement of oa ii irom _cimens of plenty 4a mens «of Sencecicty 18. _cthen Sr pncagasthe len jione_af_the counsel i a. a = AVA Dldtcal 54 Ibi Rolitical Gtabilt lomdoc canis of Ife sand ampetly Ho asta up. paduetion. f oneon AY Ans OF Food: 7g Veet imei P ees e shecephen fea ig tind Jewalicky Lovell [Eat «ill be cleo Pl demeueintiy ct _c1_loawn price. classmate Sthea things being equal the cumount of ct_commodity — Supplied incaoases with every incxeuse in its __paice* cind__decmecises cath ev. ul “tn 4s paleo, The—quamdity Supplied vaaies dimectly coith the. price = nthea_-things _aiemaini ng__constant mone qucindily 0f cn ciaticle ‘is «supplied he highes paice cind less quantity cot er _fowsear_porsiee Mes yc { 7 coe F 100. i = 29 Qls@ 1800 2 4 300 aly bo et! sudo, yb tig icel Eb heath S00. flac ten? { é Ss at Ob +ehd le] + + ©) 00 900) 30 400 S00 ———— Guunlily Supplied —=——> Wb When the aire ig OA, the quantity is OF: caith eviewy aise in price fom OA tr OR OC, OD cmd OF . the eee ei: MOT 3. We on a> Tnexease in Supply mes —-thot od the Seime ——__»>_Theae willbe ty the siqh}. > Decweuse Sin iupply _mecins thet ort the -Suciekily is cffeed Sx cale 1 cunve shifts downclassmate PS end a a oan we have measured we ten. | Original paice OA. the quanlit —Supplied is OC. wee @emains the cme but the quemfi } supplied jaises faom OC +o 00. This_is eae “Tnemease “in Supply’ ne _ Hhe new supply curve Sao chifle tn Abe aight of memoricinal cumve 66, == Paice _Gemains the came but the qeintity supplied falls feo OC to OB. This ts known «1a *Decwease in. Supply. pu | The Neto. Supply axewra. Ge, Shi: Jon oueedetin the. left of dhe original Gave SS. 1-9) A- change inthe quemily of et commodity swplied 8 ca lecult of 0, change tn 4s prices Lenton tu Extension, 10 Contraction of supely’. 2 ~| [ct Fe : Ris due _-ta ew _inewouse in its paice ow deaeuse due +o ce foull_in_its price the phenomenon is known a8 extension _ 0% _contmaction of cupply sespectively.o $0 100 1 1 ty Spied —=—$> $9 ba etlcgin aa the quantity suppl ied ——— = Sine OY we have mencunred a an = —_—__ => dlhen the price ices faom 2A_tn_O& —theajsinky SST Supolied Fineaeetse. Fars OR jn Os Thi ere one lina, knoeon cvs nm aE Conteniey sthere pd is tiopetdacd toma Pks Nodouss yees ull > 0 ° e most coidely Cost jg - moea _15. interested Sy cay ia the mone uction. ae tae <2» Heal Cast Anothes- concept oP cast 1s. the cence OF eal cast. fhe _exeartions of cull the diffeaont kinda oP lake etre diaecty o@ ndivectly involved fn mating i453 ees cca the cbstinence oa Gerther the aequioed for cowing Hho captic used tn meting i. cll Rete olfot'a ‘andl see ctogethea coil) be ceelle Malet Nu. “Todo cost: (tc)tt oa Ta otra i a oe hey cease only cohen the business” fred fo au down end ible ei eet es business. ee TS emery costs. > = Fixed casts are _ aie lot ne tale —heeenice , even cotthout machines goss — dC y. ips ———— ne ————— a oe 3 2a = we ew. i Dau! spl witatlat ps ollie ace teeth —— oxigin lowe not PLixed peamanentthy = oefal | filoind pacer used —s 2 1 wuthlely culled “matime fe cubs ate —etericl Catehle Mm ple_steson thet eat, —Ca, Heme, OV i6 the Vomiuble cost cme || The vasiouble Cos incaesXes coi-th every inusease tn the —olumes of Somuifimod Ge G —_™!| When the outpub {s OA, the veaiable cost tm ie AR. TH increase to CD cs output Tneweuse to OC, > Pa ie wast. ll peri iceste [or aa: = |The -totul costs of o business ftmm is the sum oP tHs_ doteel-vewinble and fixed cost | T+ com be by. Et = LosfiC Lus fe p2ibVGF dun Be j ;E = Avernge PUPA ; cel oy Pxed costs divided by the numbea of units produced. t AEC. TEC. +, 4 (ruben of smite of output prreduced) | | y 2 iat | | A rH St =>) Rechemnguluae be Sg SQ 1. hypenboler S Ns Age. = -onEF 23 “ x ! e iF i cae A - ; maa? t a — Output — > 2 Avorrage Fixed cost eumie slopes downoad ds thoughout He length. 5 As output fnedecises_,the total Sted cast comeads pues — = i fend yndre" units. ind “theqefime civemage: Ped cost. NE elie ie ce aehen __Cutput becomes. velny_levsge _cwewage fixed cast —loppaoaches zea. >The -emount: of _ ewemmge fixed cost tind. -the_cenrsatponding quantity. of the output coil yield dota fixed cost |COABC_>_ODEF) hich _memetins constant tharughout _| therefore the ae of dhe: AFC _cumve is _teckangulees ee uh : : dl q AVC = Ive i Sra 4 DC imbes of units of oulpit pooduced ) (ats | | "a FP Shida PS he AC time geneity = shaped Jatethome. eaniteuall | ceveneil_veeniitions_ atin the shape of this: cumves = —_ >| The AVC _cusve declines upto the point — A ge Pt) -Stoarts rising. eter. this poind.. zo) Snnig ma an The. pind Aaa tho Fiarmn 3 abe in Secwre the most cost 1s the lowest et this point. __ Ttec i ctofeul cost ow a 56 called atopy Vee, yas is the etek \ tas divided by the —numbet_of “Unity Produced an 7 Average fea Cost fs the Gum of eweserje— veciahle cet -Cind | Py jttetge fnxed cast. Thug, ATC = ANC AEC ->——= the Ate Cuave ts thevefire almost of or U- Shope, a age of. Basan of fined | ange.-soldh_ciutpuct, there! eae no: a as ae tohen odd i inemeated tm the show aun -_||M ‘ost dOutput ——|_begining.! reaches i45. ar Poul) in the _Imaaginel cos ie —__ || beceuise of the operdion ——| tehms_ ond the tise in The’ _ctverige. cast, the mmewagincel’ cost cxlsy. fells inthe minimum. and then ¢ tans 9 Sing. in the _beginn ings fs CP the law of incr e kecsing 2 i fmeiagiviel ‘cost often c:paint jt3—berause of the openstion of the leu of diminishing | eeturen a Long un Siverage Cost i¢ the long gun total cast divided by the level oP output. | The long Mun _eivewage Cost cuover crse U- huped like the Lshowt aun cost curves oie _Tladten then the choad mun cost_averdge caves lale_Knoun that the fixed costs do not have the ame _ teapoattemnte inthe long "peofod as inthe hoa speniod There ame very few Ructys eohich aremain fixed in the long period. inthe long “un, 2 ca d a_to : will wat n- ale = The eng Shu. oe ia cos} _cusve con be ee pang _Cvemge cast —cusve— cite lag ain _manginal cost curve elated bo long ———fowerage cast _cuave in the dime —cxnry 08 —the showy in _mnuginal dosh cucsve_t elated to short yy ———Leweamge cost eume, 5 — Auster Smad Coed is. sduahwalede he vig Sail | er OO Eealling Tel ecresitie von iAtsemnonigs ont sfraleas once il *ftonamies Gale t= -lA o ms cost of pear unit reduce aso result of ein pension of Lithe fem operation. =F i lean’ quantities 2 f a Feet eee UN External economiesc ta ca ———|!Components mo tonomies 3 Marketing economies, Cain _ OCs ae ——_beceitise some. mow kei ing Costs , such ——_| os Proriucing ou televieion -edverh, ome fixed. These costs ae Cain be spread over rn put fore os | me units of out | re =a They also hove a coidecr sutiaty of | Sources cf fo Choose Faron = Fox exemple, ox ler e tinted come cun_ouise money by Selling _sheres. : me , ban 0 ~specialist meanugess. As a geailt I ich is ik i ve st: (8) Brak - eee isk cee ne Enteral economies ale 3 = Tt means acarss outside of a fam , F a ae genie ee ae eo ago Supposing this industey, lLebo 1 As ox cesult. Haining costs coll be locoecs_+y_cohen cookers _ceme metmited | sf zit feetaitellae industry dominates aegion, the maids, tailoays poms = Suit thect industay's needs cs Close clo each others they ome likely to - Coopercde toith ech athe cthat then can call digafn, |4the cost ‘fore unit reneuse ott tukes, | tongea —Panction of a Porm: = Ri ing nen a then a Lenn Fpecomes—ino_hig \ ¥ plewce_cahen _econamiet SF Avestige cost (UsesSe OU is large ruins xi Lormg er. business vel 4 System of admin} sSttrection the of “oo. cmd officials) We Oe On _| beans EUiGCE Th acid es Bro Hacntaeda “too = _Metnegement mer nanegers ery detetiowute. emma eRe oo coos keas a may, become __clemotiveted MC) Contso) ain Cootdlinechion — se —teng2_business —__ eA be It +o Contin| omd Cogrdincte .: