Asked by
gebray yilma
on Oct 13, 2024
Verified
When the market price is lower than the equilibrium price,there is
A) a surplus.
B) a shortage.
C) both a shortage and a surplus.
D) neither a shortage nor a surplus.
Equilibrium Price
The price at which the quantity of a good or service offered by suppliers equals the quantity demanded by consumers.
Shortage
A market condition where the demand for a product exceeds its supply at a particular price, often leading to price increases.
- Detect market states of abundance and deficit and understand their impact on cost.
Verified Answer
PS
Learning Objectives
- Detect market states of abundance and deficit and understand their impact on cost.