What does the law of supply indicate?

The law of supply states that there is a direct relationship between the price of a good or service and the quantity supplied. Specifically, as the price of a good increases, suppliers are willing to offer more of it for sale. This is due to the potential for higher profits, which incentivizes producers to increase their production and supply. Therefore, when prices rise, the quantity supplied also tends to increase, aligning with the idea that higher prices lead to an increased quantity supplied. This principle is fundamental in understanding market dynamics and the behavior of suppliers in response to changes in price.