If the market price of a good is above the equilibrium price, explain the chain of events that should occur to return the price of the good to equilibrium

Assuming the goods are normal, and not inferior or a luxury good, and demand and supply is elastic, If the market price of a good is above the equilibrium price- the value set by the intersection of demand and supply, then there is less incentive to buy but a greater incentive to sell. So, buyers demand a smaller quantity as they can no longer afford or are willing to spend on the good, and producers produce a higher quantity to now receive a higher price for their good. The higher price may also incentivise other producers to join the market as well which also increases the quantity produced. As a result, the demand curve shifts in and the supply curve shifts out, so as demand falls and supply expands, goods should return to equilibrium price.

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