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A supply curve that is parallel to the horizontal axis suggests that: when quantity supplied increases, price rises the relationship between price and quantity supplied
A supply curve that is parallel to the horizontal axis suggests that:
- when quantity supplied increases, price rises
- the relationship between price and quantity supplied is inverse
- a change in demand will change price in the same direction
- The relevant time period is the immediate run5.in the long run, additional units of output will be forthcoming without an increase in price, in a constant cost industry
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