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Olegator [25]
3 years ago
15

Suppose that producers are charging a price that is higher than the equilibrium price. Will this create a surplus or shortage of

goods? In two or three sentences, explain your answer.
Advanced Placement (AP)
2 answers:
vaieri [72.5K]3 years ago
7 0
In theory, it should create a surplus. People don't normally pay more for an item than it is worth, however there are always exceptions.
Andreyy893 years ago
6 0
This will create a surplus of the product. Because with the price being higher there won't be as many purchases as there would be if there was a cheaper alternative.
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