For any good or service, at the market equilibrium price the quantity demanded exceeds the quantity supplied.

Question

Quizplus · Accepted Answer

At the market equilibrium price, the quantity demanded equals the quantity supplied. This is the point at which buyers and sellers agree on a price and quantity for the good or service. If quantity demanded exceeds quantity supplied, there would be a shortage of the good or service, causing the price to go up until the two are equalized.

For Any Good or Service, at the Market Equilibrium Price