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25 July, 00:24

A situation in which quantity demanded is greater than quantity supplied best describes

a. excess supply.

b. shortage.

c. equilibrium of demand.

d. surplus.

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Answers (1)
  1. 25 July, 02:37
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    Shortage is a situation in which quantity demanded is greater than quantity supplied.

    When quantity supplied is equal to quantity demanded, it is called equilibrium of demand. Both supply and demand are equal.

    When quantity supplied is greater than quantity demanded, it is called surplus. Excess supply of goods are called surplus.
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