No products in the cart.

Explain the chain effect of excess …

CBSE, JEE, NEET, CUET

CBSE, JEE, NEET, CUET

Question Bank, Mock Tests, Exam Papers

NCERT Solutions, Sample Papers, Notes, Videos

Explain the chain effect of excess supply of a good on its equilibrium price.

Posted by Vâňšh Âřôřâ 6 years, 11 months ago

CBSE > Class 12 > Economics

1 answers

Nitin Jain 6 years, 11 months ago

Excess supply (MS>MD) occurs at a point when the price is high for that commodity. Now the consumer is not getting that much of satisfaction from that commodity that he used to drive from it so he will stop or reduce the consumption of that commodity it means there will be excess supply in the market to get it in equilibrium the seller will reduce the price and hence the market will be in equilibrium again. Note: consumer has no control over price he or she can only demand that commodity the price is only affected by the seller

ANSWER

https://examin8.com

Test

Related Questions

Explain the limitation of GDP as wellfare

Posted by Naman Jain 1 year, 5 months ago

CBSE > Class 12 > Economics

1 answers

Trends in credit availability

Posted by Shruti Singh 1 year, 6 months ago

CBSE > Class 12 > Economics

0 answers

why should the aggregate final expenditure of an economy be equal to the aggregate factor payment

Posted by Nandita Sharma 1 year, 6 months ago

CBSE > Class 12 > Economics

1 answers

What is deficit ?

Posted by Sakshi Singh 5 months, 3 weeks ago

CBSE > Class 12 > Economics

1 answers

Two types of marke diagram and explanation

Posted by Rijum Karlo 1 year, 6 months ago

CBSE > Class 12 > Economics

0 answers

Industrial licensing was used to promote regional equality. Discuss

Posted by Niyati Garg 1 year, 5 months ago

CBSE > Class 12 > Economics

0 answers

What is receipt?

Posted by Geeta Gautam 1 year, 5 months ago

CBSE > Class 12 > Economics

0 answers

Economic Reforms Since 1991 notes

Posted by Dipika Sharma 1 year, 6 months ago

CBSE > Class 12 > Economics

0 answers

Economics project on function of RBI

Posted by Mehar Ansari 1 year, 6 months ago

CBSE > Class 12 > Economics

0 answers

Is inclusive growth Achievable for a developing country like India when exposed to the process of privatisation and globalization

Posted by Niangmuankim Vaiphei 1 year, 5 months ago

CBSE > Class 12 > Economics

0 answers

myCBSEguide App

myCBSEguide

Trusted by 1 Crore+ Students

Test Generator

Test Generator

Create papers online. It's FREE.

CUET Mock Tests

CUET Mock Tests

75,000+ questions to practice only on myCBSEguide app

Google Play

Download myCBSEguide App