When price is above the equilibrium level, suppliers offer more than demanders wish to buy.

Name: When price is above the equilibrium level, suppliers offer more than demanders wish to buy.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

This is because at a higher price, suppliers are willing to produce and offer more quantity of goods and services, while demanders are willing to buy less due to the high cost. This leads to an excess supply, which puts downward pressure on the price to reach equilibrium.

When Price Is Above the Equilibrium Level, Suppliers Offer More