At a given price of a commodity, there is an excess demand Is this price an equilibrium price If - Economics - Market Equilibrium

Question

At a given price of a commodity, there is an excess demand Is this
price an equilibrium price? If not, how will the eqiilibrium price
be reached? (Use Diagram)

Vaishali Nebhwani · Accepted Answer

Dear student,

At a given price if there is excess demand, then price is not in
equilibrium, as in a condition of equilibrium, Demand= Supply
Kindly refer the given link for second part of your query

https://www meritnation
com/cbse/class12-commerce/studymaterial/economics/introductory-microeconomics/market-equilibrium/338_1984_5821

Regards

At a given price of a commodity, there is an excess demand.Is this price an equilibrium price? If not, how will the eqiilibrium price be reached? (Use Diagram)