which needs to happen to the price indicated by p2 on the graph in order to achieve equilibrium? it needs to…

which needs to happen to the price indicated by p2 on the graph in order to achieve equilibrium? it needs to be increased. it needs to be decreased. it needs to reach the price ceiling. it needs to remain unchanged.

which needs to happen to the price indicated by p2 on the graph in order to achieve equilibrium? it needs to be increased. it needs to be decreased. it needs to reach the price ceiling. it needs to remain unchanged.

Answer

Explanation:

Step1: Analyze the graph situation

At price p2, there is excess - supply as quantity supplied is greater than quantity demanded.

Step2: Recall price - quantity relationship in equilibrium

In a market, when there is excess supply, price needs to fall to increase quantity demanded and decrease quantity supplied to reach equilibrium.

Answer:

It needs to be decreased.