QUESTION 1 In their supply decisions, producers take account of the prices of all the alternative products which they can produce. 1.True 2. False Question 2 Supply refers to the quantities of a good or service that producers plan to sell at different prices. 1.True 2. False QUESTION 3 The market supply curve is the horizontal sum of all the individual supply curves. Note, you will lose 50% of the mark for this question if you choose the incorrect option. 1.True 2. False Question 4 A supply curve is an illustration of the quantities supplied at different prices, on the assumption that all the other factors that can influence the quantity supplied, remain unchanged. Note, you will lose 50% of the mark for this question if you choose the incorrect option. 1.True 2. False QUESTION 5 A decrease in the price of potatoes will result in a leftward (downward) movement along the supply curve (ie a decrease in the quantity of potatoes supplied). 1. True 2. False