Option 1 -> Starts with excess demand but doesn't follow with price increase mechanism.
Option 2 -> Incorrectly places equilibrium before quantity adjustments occur.
Option 3 -> Correctly sequences: excess demand → price increase due to competition → quantity adjustments → equilibrium achieved.
Option 4 -> Reverses the entire adjustment process by starting with equilibrium.
Hence, Option 3: (A), (D), (B), (C) -> The correct sequence of market equilibrium adjustment is: First, excess demand occurs when market demand exceeds supply (A). This triggers competition among buyers who bid up prices (D). As prices rise, the law of demand causes quantity demanded to fall while the law of supply causes quantity supplied to rise (B). Finally, these adjustments continue until the market reaches equilibrium where quantity demanded equals quantity supplied (C). This represents the self-correcting mechanism of perfect competition. -> correct