Suppose that the average price of refrigerators has fallen over the past few years, yet the refrigerator companies have offered more and more of them for sale. Does this mean that the supply curve for refrigerators is downward sloping? Explain

The reason that refrigerator prices have fallen is likely a result of a change in one of the determinants of supply. For example, a technological improvement in the production of refrigerators may have occurred. This advance in technology would cause the supply curve for refrigerators to shift to the right, lowering equilibrium price and raising the equilibrium quantity. Since one of the determinants of supply has changed, this is not a case of a movement along a supply curve (and thus does not violate the law of supply).