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Fig.4. Growth under the Fig.5. Decrease in the demand

influence of non-price factors for non-price factors influence

Supply. Factors determining the sentence. The law of Supply

The supply of goods on the market - is another, no less important, aspect of entrepreneurship, which expresses a direct relationship between price and quantity of product produced and offered for sale. Prices and sales of goods vary unidirectional: if the price rises, the market will come to sell more goods. And vice versa.

Major, major factor here is the price. For each of the great variety of goods price points to the need or reduce its production if demand declined, or enhance its production if demand is stable or increasing. The level of prices of products offered depends revenue, profit, profit. Higher than they are, the faster growing market supply of goods, and vice versa. Market supply of goods makes sense only if it is confirmed to meet the price.

The law of supply, as we see from Fig. 6. States that, other things being equal, the higher the price of the goods, the greater the amount can be made and presented for sale in the markets.

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