9.2 Types of supply

Supply refers to the quantity of commodity that the producer or manufacturer wish to supply to the market at a particular price and at a given time period. Supply is based on a law of supply which states that the supply of a commodity changes with the change in price of the commodity when all other factors other than price of the commodity are held constant.

Joint Supply

Just like joint demand, joint supply refers to the supply of goods that are jointly supplied together. Joint supply is said to occur when two commodities are supply together. For example, supply of cars requires the supply of spare parts.

Competitive supply

Competitive supply refers to the supply of goods or services to the markets that have similar usage to the consumer. When commodities are close substitute and supply of such commodities to the market is said to be competitive supply. A good example is the supply of brands of cars (Toyota and Honda) to the market.