ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Excess Demand: the quantity demanded is greater than the quantity supplied at the given price. This is also called a shortage. Excess Supply: the quantity demanded is less than the quantity supplied at the given price. This is also called a surplus.

Detailed explanation-2: -If the market price is below the equilibrium price, quantity supplied is less than quantity demanded, creating a shortage.

Detailed explanation-3: -A shortage is a condition where the quantity demanded is greater than the quantity supplied at the market price. There are three main causes of shortage-increase in demand, decrease in supply, and government intervention. Shortage, as it is used in economics, should not be confused with “scarcity."

Detailed explanation-4: -shortage. when the quantity demanded of a good, service, or resource is greater than the quantity supplied. surplus. when the quantity supplied of a good, service, or resource is greater than the quantity demanded.

Detailed explanation-5: -A Market Shortage occurs when there is excess demand-that is quantity demanded is greater than quantity supplied. In this situation, consumers won’t be able to buy as much of a good as they would like.