Market equilibrium
i. can never occur because there are always people who want a good but cannot afford it.
ii. occurs at the intersection of the supply and demand curves.
iii. is the point where the price equals the quantity.

Question

Quizplus · Accepted Answer

Market equilibrium occurs at the intersection of the supply and demand curves, where the quantity supplied equals the quantity demanded at a certain price. This does not necessarily mean the price equals the quantity, nor does it imply that everyone who wants the good can afford it.

Market Equilibrium I. Can Never Occur Because There Are Always People Who