When there is an excess quantity supplied in the market
A) the price of the product will increase, causing a decrease in demand and an increase in supply.
B) the price of the product will increase, causing a decrease in quantity demanded and an increase in supply.
C) the price of the product will decrease, causing an increase in quantity demanded and a decrease in quantity supplied.
D) the price will increase, causing a decrease in demand and an increase in quantity supplied.
C
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If the income effect is larger than the substitution effect, then a wage hike will be accompanied by an increase in the quantity of labor supplied
Indicate whether the statement is true or false
Which of the following are TRUE of fixed payment loans?
A) The borrower repays both the principal and interest at the maturity date. B) Installment loans and mortgages are frequently of the fixed payment type. C) The borrower pays interest periodically and the principal at the maturity date. D) Commercial loans to businesses are often of this type.