Suppose that when the price of oranges is $3 per pound, the quantity demanded is 4.7 tons per day and the quantity supplied is 3.9 tons. In this case:
A)excess demand will lead the price of oranges to rise.
B)excess supply will lead the price of oranges to fall.
C)excess demand will lead the price of oranges to fall.
D)excess supply will lead the price of oranges to rise.

Question

Quizplus · Accepted Answer

If the quantity that sellers wish to sell is 3.9 tons, and the quantity that buyers wish to buy is 4.7 tons, then there is excess demand, which will lead the price of oranges to rise.

Suppose That When the Price of Oranges Is $3 Per