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Bipina Poudel
3 years ago Grade -12 (NEB) > Management Economics

Differences between Movement along a supply curve and shift in the supply curve

List out the differences between Movement along a supply curve and shift in the supply curve.

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Bipina Poudel
3 years ago Answer Link CTEVT > Diploma/PCL > PCL In Medical Lab Technology Revised 2019

The differences between Movement along a supply curve and Shift in the supply curve are as below:

S.N Movement along a supply curve Shift in the supply curve
1. It is caused by the change in the price of the commodity only.  It is caused by the change in the factors other than price.
2. The position of the supply curve remains the same. The position of supply curve changes.
3. It is always along the same supply curve i.e. no new supply curve is drawn. It is shown by the drawing new supply curve.
4. If the quantity supplied of a commodity decreases with a fall in price, it is called contraction in supply. In this case, the consumer moves downwards along the same supply curve If the quantity supplied of a commodity falls due to unfavourable change factors other than price, it is called a decrease in supply. In this case, the supply curve shifts upward to the left.
5. If the more quantities of a commodity are supplied with the rise in price, it is called extension in supply. In this case, the seller moves upward along the same supply curve. If the supply of a commodity rises due to favourable change in factors other than price, It is called a decrease in supply. In this case, the supply curve shifts upward to the left.
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