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Elan Coil [88]
3 years ago
10

"In the corn market, demand often exceeds supply and supply sometimes exceeds demand." "The price of corn rises and falls in res

ponse to changes in supply and demand." In which of these two statements are the terms demand and supply being used correctly?
Business
1 answer:
alexandr402 [8]3 years ago
3 0

Answer: In the second statement

Explanation: Supply and demand are two market forces which determines the price of a commodity. In simple words, the amount of commodity that the consumers are willing to buy at a given price is called demand and the producer are willing to sell is called supply. The situation in which the two are equal is called equilibrium.

If the demand for a product is higher than its supply then its price will increase and vice versa.

Thus, from the above we can conclude that the second statement is correct.

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You can check the options online.

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If the potential market share is higher than the actual market share, the reason for this will be due to the fact that the budget for sales and promo are excessive, and you reached diminishing returns on your spend.

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