In theory, what should happen if there is excess supply for a good, what should happen?

a) prices remain constantb) suppliers will increase pricec) consumers will demand mored) suppliers will reduce pricethe answer would be D as the supply increases, this causes a rightwards shift in supply, with demand remaining constant. this will result in the price level decreasing.

AD
Answered by Adam D. Economics tutor

1360 Views

See similar Economics GCSE tutors

Related Economics GCSE answers

All answers ▸

Discuss the effectiveness of a change in the exchange rate in order to correct a trade deficit.


Please show, using a diagram with explanation, the effect on the UK market for t-shirts of a flood in Bangladesh, a leading cotton growing nation.


How can a tax be represented in a simple demand and supply diagram?


Explain price elasticity of demand


We're here to help

contact us iconContact ustelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

MyTutor is part of the IXL family of brands:

© 2025 by IXL Learning