Question

Based on the laws of _________, when too much of a product is produced, the price drops. a. nature b. supply and demand c. most states in the U.S. d. factories and farms

Answer 1

The answer is supply and demand (Option B)

Step-by-step explanation:

Based on the laws of supply and demand, when there is an increase in supply (also known as increase in production) and a decrease in demand, there would be a fall in the price of the product.

This is due to the fact that consumer's of such products would place a lower value on the produce while the manufacturers or producers would be willing to accept a lower price for it. Thus, it is in the best interests of manufacturers or producers of goods to match supply with demand.