JAMB Economics 2008 Objective — Question 19

Question 19 of 50 from the Joint Admissions and Matriculation Board (JAMB) Economics 2008 Objective paper, with the correct answer and a full explanation.

In the diagram above showing curves D and S with an excess area shown, there is an excess

• A. demand for 30 units
• B. supply of 40 units
• C. demand for 20 units
• D. supply of 20 unitsCorrect

Explanation

There is excess supply of 20 units i.e., Qs-Qd = 40-20 = 20.

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