the graph shows the supply and demand curves for a certain product which has a current selling price of…

the graph shows the supply and demand curves for a certain product which has a current selling price of $500. the laws of supply and demand most support which conclusion about the product? d. the current selling price for the product is the result of a shortage. b. the current selling price for the product is too low. a. the current selling price matches the products equilibrium price. c. the current selling price for the product is too high.

the graph shows the supply and demand curves for a certain product which has a current selling price of $500. the laws of supply and demand most support which conclusion about the product? d. the current selling price for the product is the result of a shortage. b. the current selling price for the product is too low. a. the current selling price matches the products equilibrium price. c. the current selling price for the product is too high.

Answer

Brief Explanations:

The equilibrium price is where the supply and demand curves intersect, which is $400 here. The current selling price of $500 is above the equilibrium price. According to the laws of supply and demand, when price is above equilibrium, quantity supplied exceeds quantity demanded, meaning the price is too high.

Answer:

c. The current selling price for the product is too high.