Shortage of the good

Describe when there will be a shortage of the good?

E

Expert

Verified

When the real price is lower than the equilibrium price, then there will be a shortage of the good.

   Related Questions in Macroeconomics

  • Q : Problem on tax system In the figure

    In the figure shown below, line T0 depicts a tax system which is: (1) Progressive. (2) Regressive. (3) Proportional. (4) Unbiased. (5) Recessive. 386</span></p>
                                        </div>
                                        <!-- /comment-box -->
                                    </li>
   
   </td>
	</tr><tr>
		<td>
       
      <li>
                                        <div class=

    Q : Market Economy Explain the statement "

    Explain the statement "Hypothes is the basic short run and long run behaviors of the airline industry in a market economy".

  • Q : Revenue receipts and Capital receipts

    Elucidate the basis of categorizing government receipts into revenue receipts and capital receipts. Answer: Revenue Receipts: The government revenue receipts are such receipts A) that neither makes liability

  • Q : Consumer Surplus and Producer Surplus

    In a graph of competitive market in equilibrium, the net surpluses producers and consumers enjoy generally equivalents the area among the: (i) Demand and supply curve however to the left of point of the market equilibrium. (ii) Horizontal axis and a 45°line origin

  • Q : Speculators actions when they are right

    When speculators are right, their actions: (1) Cause already depressed prices to drop/fall further. (2) Raise the risks to another firm of doing business. (3) Prevent price refuses from their peaks. (4) Reduce both the phase of prices and their volatility across time.

  • Q : Policy proposals influencing market for

    How would your policy proposals influence the market for parking?

  • Q : Define Demand schedule What is Demand

    What is Demand schedule and how it is associated to demand curve?

  • Q : Open-Economy Macroeconomics

    Open-Economy Macroeconomics   Suppose the structure of an economy with a flexible exchange rates is represented by:   C = 200 + 0.85*(Y - T)             &n

  • Q : Transactions demand for money The basic

    The basic determinant of the transactions demand for money is the

  • Q : National income Gross domestic capital

    Gross domestic capital formation is always greater than gross fixed capital formation

©TutorsGlobe All rights reserved 2022-2023.