If the quantity demanded of a good is 100 units and the quantity supplied is 50 units, then the equilibrium quantity will be larger than 100 units.

Question

Quizplus · Accepted Answer

Equilibrium quantity is reached when quantity demanded equals quantity supplied; if demand is 100 units and supply is 50 units, the market is not in equilibrium, and without further adjustments, the equilibrium quantity cannot be larger than the current demand of 100 units.

If the Quantity Demanded of a Good Is 100 Units