When a shortage occurs in the market for a good, quantity
A. demanded exceeds quantity supplied and the market mechanism pushes the price up, which in turn encourages more production and less consumption.
B. supplied exceeds quantity demanded and the price falls, which encourages more production and less consumption.
C. demanded exceeds quantity supplied and the market mechanism pushes the price down, which encourages more production and less consumption.
D. supplied exceeds quantity demanded and the price rises, which encourages more production and less consumption.
Answer: A
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