When the Price of a Good Is Above Its Equilibrium

question 104

Multiple Choice

When the price of a good is above its equilibrium value,

• A) consumers will bid the price up.
• B) excess demand will occur.
• C) it will tend to stay above the equilibrium value.
• D) suppliers will notice their inventories are shrinking.
• E) suppliers will lower the pricE.

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Definitions:

Ecosystems

Complex networks of different organisms interacting with each other and their environment within a particular area.

Photosynthesizes

The act or process by which an organism that contains chlorophyll, such as a green plant, produces organic matter from carbon dioxide and water in the presence of sunlight.

Supergroup

In the context of biology, a high-level taxonomic category above the level of kingdom, used to classify life in a broad scale; or, in other contexts, a term for a highly successful musical collaboration.

Archaeplastida

A major group of eukaryotic organisms that includes red algae, green algae, and land plants, characterized by the presence of plastids with chlorophyll.