If the market for tires is unregulated and is presently characterized by excess supply, you can accurately predict that price will

Question

Quizplus · Accepted Answer

In a market with excess supply, prices tend to decrease to clear the surplus. This lower price makes the product more attractive to consumers, increasing the quantity demanded, while suppliers are likely to reduce the quantity supplied in response to the lower prices.

If the Market for Tires Is Unregulated and Is Presently