Price tends to be in equilibrium where supply and demand intersect because when quantity supplied:
A) equals quantity demanded, prices don't change.
B) exceeds quantity demanded, prices have a tendency to rise.
C) is less than quantity demanded, prices tend to fall.
D) equals quantity demanded, prices will fall.

Question

Quizplus · Accepted Answer

When quantity supplied equals quantity demanded, the market is in equilibrium, and there is no pressure for prices to change.

Price Tends to Be in Equilibrium Where Supply and Demand