At a price above the equilibrium price, there is a

Economics May 21, 2021

At a price above the equilibrium price, there is a. a shortage. b. a surplus. c. excess demand. d. super-equilibrium. e. none of the above

Expert Solution

Answer

b .

Explanation

If the market price is above the equilibrium price, quantity supplied is greater than quantity demanded that creates a surplus. So, The correct option is B "A surplus".

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