The Law of Supply Economics states that when the price of a good or service increases, the quantity supplied also rises. This is true in an ideal market where producers are able to take advantage of higher prices and increase their production to meet the growing demand for the product. Inversely, when the price of a good or service decreases, the quantity supplied tends to decrease as well. This phenomenon has been empirically observed across many industries over the years, and it serves as an important concept for businesses looking to optimize profits.