Directorate: Curriculum FET

SUBJECT and GRADE ECONOMICS GRADE 10

TERM 2 Week 3
TOPIC Dynamics of Markets
LESSON 7 Lesson unit 7: Supply
AIMS OF LESSON Learners must be able to successfully answer relevant questions on supply
INTRODUCTION Dynamics of Markets is linked to content covered in:
Gr.9 EMS – Price Theory
KEY CONCEPTS: Supply, Law of supply, Supply schedule, Supply Curve, Ceteris Paribus
SKILLS At the end of the lesson the learners should be able to:
1. briefly describe the relevant concepts
2. explain the Law of Supply
3. to draw a supply curve from relevant data
4. explain the factors that influence the supply of goods
NOTES SUPPLY
DEFINITION: It refers to the quantity of goods and services that producers/suppliers are willing and able to supply
Read at the different price levels.
carefully SUPPLY SCHEDULE: a table showing the quantity of a product or service supplied at at different prices
through SUPPLY CURVE: a graphical presentation of the supply schedule
the LAW OF SUPPLY: As the price of a product increases the supply of the product will also increases and as the price
notes. of the product decreases the supply of the product will also decreases.
Rewrite it in your CETERIS PARIBUS: Latin phrase that means that ‘all other determinants are constant’.
workbooks.
Make flashcards by FACTORS THAT INFLUENCE SUPPLY
writing the concepts -The price of the goods or services
on the one side and -The price of alternative goods and services
the explanations on -The price of factors of production
the other side. Go -The state of the technology
through it on a daily
basis. CHARACTERISTICS OF A SUPPLY CURVE
- positive slope
- ascends from bottom left to top right
- There is an inverse relationship between price and quantity.

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 Directorate: Curriculum FET

A Graph has
a Example: Supply Schedule Supply Curve for Biscuits
a vertical axis
and a Price of one packet Quantity supplied
horizontal of biscuits (biscuits)
Price in BISCUITS
Rand
axis. Quantity
R2.00 100
Supplied is illustrated S
on the Horizontal axis
R4.00 200
AND Price in Rand is
illustrated on the
R6.00 300
Vertical axis
Each price/ quantity
R8.00 400
combination is
illustrated by a dot S
R10.00 500
on the supply curve
(eg if the Price is R2, S
then 100 packets of QUANTITY
biscuits will be
supplied, as
illustrated by the
purple dotted lines)

ADDITIONAL https://youtu.be/2Wp-diDRVKI Econ Gr.10 Core Notes

RESOURCES: https://youtu.be/ShzPtU710xS Econ Gr. 10 Answer Series
Any other Caps Approved Econ Gr.10 Textbook

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CONSOLIDATION
ACTIVITIES: 1. Use the information in the table below
to draw a SUPPLY CURVE on the axis
Answer the provided. Don’t forget to label your curve
-
following
questions. PRICE OF QUANTITY
CHOCCIES SUPPLIED
R2 10
R4 15
R6 20
R8 25
R10 30

2. Name ONE characteristic of the supply curve. (2)

3. Explain the Law of Supply. (4)

4. List TWO factors that influence the supply of goods and services. (4)

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