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What happens to a market in equilibrium when there is an increase in supply? A. Excess supply means that producers will make less of the good. B. Quantity demanded will exceed quantity supplied, so the price will drop. C. Quantity supplied will exceed quantity demanded, so the price will drop. D. Undersupply means that the good will become very expensive.
Weegy: B. Quantity demanded will exceed quantity supplied, so the price will drop is the answer (More)
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Updated 12/28/2011 10:28:24 AM
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C. Quantity supplied will exceed quantity demanded, so the price will drop. This is what happens when there is an increase in supply.
Added 12/28/2011 10:28:24 AM
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