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Equilibrium (Price) : The price at which the quantity of a good demanded is equal to the quantity of the good supplied. This is from the video “ The Equilibrium

Equilibrium (Price): The price at which the quantity of a good demanded is equal to the quantity of the good supplied. This is from the video “The Equilibrium Price” in the Principles of Microeconomics course.

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The equilibrium price is the price where the quantity demanded is equal to the quantity supplied, right here, and this is the equilibrium quantity. Why is this the equilibrium price? At any other price, forces are put into play that will push the price towards the equilibrium price. It's kind of like a ball in a bowl where the ball always returns to one stable position. The equilibrium price is the only place where the price is stable.

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