Question

Which describes a situation in which a shortage occurs?

Question 3 options:

Consumers want more video-game systems than the company can make.

There is inefficiency in the productive process used to make cell phones.

A computer company tries to charge too high a price for a new laptop computer.

A clothing store puts sweaters on sale to get rid of them before the end of winter.

Answer 1

Consumers want more video-game systems than the company can make.

Answer 2

The correct answer is A. Consumers want more video-game systems than the company can make.

Step-by-step explanation:

In the economy and related fields, a shortage occurs if the supply (units of a product available) is lower than the demand (consumers that want the product); this implies, the quantity of a product is not enough, and therefore just some consumers will be able to buy the product even if all want this product and can pay for it.

This situation occurs in "Consumers want more video-game systems than the company can make" because in this case, the number of consumers (demand) is higher than the number of video-game systems (supply) and therefore not all the possible consumers can have this product.