29 August, 07:10
How is a shortage or a surplus corrected
29 August, 08:45
The answer to this question lies in the law of supply and demand. The steering force in determining supply and demand is price.
Therefore, if you have a shortage, price will go up. This will drive demand down.
If you have a surplus, price will go down. This will entice more people to buy your product thus reducing your surplus.
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅
“How is a shortage or a surplus corrected ...”
in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
New Questions in Business
Which of these increases the price of certain foreign-made goods? Question 7 options: an import tariff an excise tax a sales tax an income tax
After becoming certified, a personal trainer obtains liability insurance. What is this an example of
What is the weighted average cost of capital for a corporation that finances an expansion project using 35% retained earnings and the rest as debt capital
Current GAAP requires that share-based compensation be expensed at the grant date of the stock options award. (A) True (B) False
On October 5, Cullumber Company buys merchandise on account from Marin Company. The selling price of the goods is $5,790, and the cost to Marin Company is $3,520.
» How is a shortage or a surplus corrected