A shortage exists in a market if the current price is below its equilibrium price.
Shortage leads to the price of good increasing.
Shortage refers to the situation when the quantity demanded of the good is more than the quantity supplied. It is the situation of the disequilibrium.
Equilibrium is situation when market demand is equals to the market supply.
It means that the customer won't be able to buy as much of a good they like to buy as this cause the excess demand in the market.
In response to the excess demand , producers increase the price of the product as well as the quantity supplied. But for some consumers this price is too much so they will no longer demand for the same product. Therefor excess demand will no more and market will come in the equilibrium level.
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