Question

Cell phone producers are supplying more phones than consumers demand, at the given price. This means that there is a _____ of phones.

Answer 1

The answer is: Surplus

A surplus occurs when the number of a certain type of goods or assets exceed the number of people who are willing to use them.

This type of situation most often occurs when resources are abundances and the people have enough income to buy the goods without sacrificing their basic needs.