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In Business / High School | 2025-07-03

What happens when the quantity of a good supplied at a given price is greater than the quantity demanded?
A. excess supply
B. stable prices
C. exact equilibrium
D. increased production

Asked by aidenthadon

Answer (2)

The correct answer is A. excess supply . This occurs when the quantity supplied of a good at a given price surpasses the quantity demanded, leading to potential price reductions and adjustments in production. Market dynamics usually help correct this imbalance over time to achieve equilibrium.
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Answered by Anonymous | 2025-07-04

Excess supply occurs when the quantity supplied of a good at a given price exceeds the quantity demanded. To correct this, markets often respond by decreasing prices, which increases demand and reduces supply until equilibrium is restored. Understanding excess supply is crucial for grasping market dynamics. ;

Answered by GinnyAnswer | 2025-07-04

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