What is the likely outcome if the price of a product is set above the market equilibrium price?

Setting a price above the market equilibrium creates a surplus because suppliers produce more than buyers want. The extra goods pile up, so sellers lower the price to attract more buyers. As the price drops, the quantity demanded rises while quantity supplied falls, moving the market back toward equilibrium. For example, if a shirt sells for $30 instead of the equilibrium $20, customers buy fewer shirts, suppliers reduce production, and the price eventually falls to $20. Thus the market self‑corrects, restoring balance.