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If the demand for a product is so great that firms are unable to fulfill all of the orders, what might it conclude? (2 points)

The product is an inferior good.
There is a shortage, and the price is below equilibrium.
The product is experiencing diminishing marginal returns.
At the current price, the supply is greater than the demand.
Foreign governments recently placed a tariff on the product.

User Syuaa SE
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1 Answer

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If the demand for a product is so great that firms are unable to fulfill all of the orders, it might conclude that there is a shortage, and the price is below equilibrium.
User Sandeep Bhaskaran
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