Supply curve forms a vertical straight line during very short period in case of ____
Answer & explanation
Correct answer: option 1
The correct answer is Option 1: Perishable goods.
Very Short Period (Market Period): In the very short periodthe supply of certain goods is fixed. This means that the quantity supplied cannot be changed, regardless of the price. This is particularly true for perishable goods.
Perishable Goods: Perishable goods, such as fresh fruits, vegetables, or flowers, cannot be stored for long periods. Once they are produced, they must be sold quickly. Therefore, the supply of these goods is fixed in the very short period, and the supply curve becomes a vertical straight line.