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2 years ago

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2. State a price at which there would be a surplus of cort and explain why.

1 answer:

Annette [7]2 years ago

7 0

A surplus exists when the price is above equilibrium, which encourages sellers to lower their prices to eliminate the surplus. A shortage will exist at any price below equilibrium, which leads to the price of the good increasing. For example, imagine the price of dragon repellent is currently $6 per can.

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