QuestionDecember 16, 2025

What do producers often do when supply is greater than demand? lower quality increase quality increase prices lower prices

What do producers often do when supply is greater than demand? lower quality increase quality increase prices lower prices
What do producers often do when supply is greater than demand?
lower quality
increase quality
increase prices
lower prices

Solution
3.6(162 votes)

Answer

lower prices Explanation 1. Identify market response to surplus When supply exceeds demand, producers face unsold inventory. 2. Apply basic economic principle To encourage sales, producers typically reduce prices.

Explanation

1. Identify market response to surplus<br /> When supply exceeds demand, producers face unsold inventory.<br />2. Apply basic economic principle<br /> To encourage sales, producers typically reduce prices.
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