Asked by
Destonie Nicole
on Oct 13, 2024
Verified
In the graph shown above at a price of $25
A) there is a surplus.
B) there is a shortage.
C) quantity demanded is greater than quantity supplied.
D) there is a shortage and quantity demanded is greater than quantity supplied,but there is not a surplus.
E) there is a surplus and quantity demanded is greater than quantity supplied,but there is not a shortage.
Surplus
The condition that occurs when supply exceeds demand, often resulting in a decrease in prices.
Shortage
A situation where the demand for a good or service exceeds its supply in a market.
Quantity Demanded
The amount of a product that consumers are willing to buy at a specific price point, at a given time.
- Familiarize with the understanding of deficits and gluts in supply and their role in altering market mechanisms.
Verified Answer
KT
Learning Objectives
- Familiarize with the understanding of deficits and gluts in supply and their role in altering market mechanisms.