Asked by kyliee

The graph shows a point of equilibrium.

A graph titled Supply and Demand Equilibrium has Quantity Supplied on the x-axis, from 0 to 50 in increments of 10, and price in dollars on the y-axis, from 0 to 18 in increments of 2. Supply has a positive slope and demand has a negative slope. The lines intersect at point (30, 9).

If the quantity supplied is greater than the quantity demanded, what must happen to the price in order to reach equilibrium?

The price of the product will increase to meet equilibrium.
The price of the product will decrease to meet equilibrium.
Supply and demand must be raised.
Supply and demand must be lowered.

All Answers 1

Answered by GPT-5 mini AI
The price of the product will decrease to meet equilibrium.

Explanation: If quantity supplied exceeds quantity demanded (a surplus), sellers cut price to increase quantity demanded and reduce the surplus until supply and demand meet at the equilibrium price.