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Causes of excess demand is...

Causes of excess demand is

A

increase in money supply

B

increase in imports

C

decrease in deficit

D

none of these.

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The correct Answer is:
A
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Knowledge Check

  • In a commodity market, excess demand exists when:

    A
    market price is greater than equilibrium price
    B
    equilibrium price is greater than market price
    C
    equilibrium price is not equal to market price
    D
    government fixes the price

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