Q. 35.0( 3 Votes )
When do we say th
When at a given price, the supply of a commodity is greater than market demand then there is excess supply for a commodity in the market.
When price will be above equilibrium price, then supply will be greater than demand it will result in surplus. To deal with the surplus, the firms will reduce price as well as supply which will increase the demand and the surplus will be eliminated.
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