does an increase in the supply of t - shirts bring a surplus or a shortage of t - shirts at the original…

does an increase in the supply of t - shirts bring a surplus or a shortage of t - shirts at the original price? how does the price change as the market moves to its new equilibrium? an increase in the supply of t - shirts brings a ______ of t - shirts at the original price and a ______ in their price. a. surplus; fall b. surplus; rise c. shortage; fall d. shortage; rise
Answer
Brief Explanations:
When the supply of T - shirts increases at the original price, quantity supplied exceeds quantity demanded, creating a surplus. To clear this surplus and reach a new equilibrium, the price must fall as suppliers compete to sell their excess inventory.
Answer:
A. surplus; fall