| Expansion contraction of supply | Increase decrease of supply |
| 1. When factors other than price are assumed to remain constant and price varies, there occurs expansion and contraction of supply. | 1. Assuming price as constant if the suppiy increase/decrease due to some other factors, it is known as increase/ decrease in supply. |
| 2. Expansion contraction occurs due to price. | 2. Increase decrease of supply takes place due to factors other than price. |
| 3. Here, the supply curve remains stable, only the points on the supply curve change. | 3. Here, the entire supply curve shifts. |
