A decrease in quantity supplied Group of answer choices results in a movement downward and to the left along a fixed supply curve. results in a movement upward and to the right along a fixed supply curve. shifts the supply curve to the left. shifts the supply curve to the right.

Movement downward and to the left along a fixed supply curve.

Explanation:

According to the law of supply, there is a positive relationship between the price of the goods and the quantity supplied of goods. This indicates that the supply curve is upward sloping to the right. This means that as the price of the goods increases then as a result the quantity supplied of those goods also increases and as the price of the goods decreases then as a result the quantity supplied of those goods also decreases.

Hence, if there is a decrease in the quantity supplied then as a result there is a downward movement in the supply curve and to the left along the supply curve.

Shifts the supply curve to the left

Explanation :

Supply Curve is the upward curve representing positive relationship between price & quantity supplied.

Quantity supplied change due to price leads to movement on the supply curve. Change in supply due to factors other than price shifts the entire supply curve itself.

If a factor other than price changes in favour to increase supply, the upward sloping supply curve shifts downwards / rightwards. If a factor other than price changes to decrease supply , the upward sloping supply curve shifts upwards / leftwards.

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