Question

Match List-I with List-II:List-I
(Characteristic)| List-II
(Implication)
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A| Equilibrium| (I)| Plans of all the consumers and firms in the market match
B| Excess supply| (II)| Demand decreases with an increase in income
C| Inferior good| (III)| Supply is greater than market demand
D| Price ceiling| (IV)| Imposition of upper limit by government

• A. (A) - (I), (B) - (II), (C) - (III), (D) - (IV)
• B. (A) - (I), (B) - (III), (C) - (II), (D) - (IV)
• C. (A) - (I), (B) - (II), (C) - (IV), (D) - (III)
• D. (A) - (III), (B) - (IV), (C) - (I), (D) - (II)

Answer 1

Answer: (B)

(A) - (I), (B) - (III), (C) - (II), (D) - (IV)

Answer 2

Equilibrium occurs when all market plans match, excess supply means supply exceeds demand, and price ceilings are government-imposed upper limits.