The equilibrium price is the price where the quantity demanded by consumers equals the quantity supplied by producers. At this price, there is neither a surplus nor a shortage of the product. It's the "market clearing" price.
37 words
The equilibrium price is the price where the quantity demanded by consumers equals the quantity supplied by producers. At this price, there is neither a surplus nor a shortage of the product. It's the "market clearing" price.
37 words