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American English. Ratona's explanation is excellent: Ratona said: A supplier of goods/merchandise. A provider of care/service. Click to expand... The words are synonyms, but their use is different. A supplier gives material, products, merchandise, while a provider gives service.
The model is commonly applied to wages in the market for labor. The typical roles of supplier and consumer are reversed. The suppliers are individuals, who try to sell (supply) their labor for the highest price. The consumers are businesses, which try to buy (demand) the type of labor they need at the lowest price.