If prices are held below the equilibrium price,________.
A) there will be a surplus in the market
B) there will be a shortage in the market
C) social surplus will be maximized
D) all firms will earn positive economic profits

Question

Quizplus · Accepted Answer

When prices are held below the equilibrium price, the quantity demanded exceeds the quantity supplied, leading to a shortage in the market.

If Prices Are Held Below the Equilibrium Price,________