What is the term for a situation where supply exceeds demand at a specific price?

The term for a situation where supply exceeds demand at a specific price is "surplus." This occurs when the quantity of goods or services available exceeds the quantity that consumers are willing to purchase at that price point. In such cases, sellers may find themselves with excess inventory that they are unable to sell, which can lead to downward pressure on prices as they may need to reduce prices to encourage sales and eliminate the surplus.

A surplus can indicate various market dynamics, such as overproduction, decreased consumer interest, or inappropriate pricing strategies. Understanding this concept is crucial for businesses and economists alike, as it helps in making decisions related to production levels, pricing strategies, and resource allocation.