Which of the following suggests that the "laws" of supply and demand are being disobeyed?
A)Outside forces disturbing an equilibrium
B)Persistent shortages or surpluses
C)The market never moving from an equilibrium
D)"Other things" not always being equal

Question

Quizplus · Accepted Answer

Persistent shortages or surpluses suggest that the market is not in equilibrium, indicating a lack of adherence to the laws of supply and demand. Outside forces can temporarily disturb an equilibrium, but if the market returns to equilibrium after the disruption, the laws of supply and demand are still being followed. The market never moving from an equilibrium (Choice C) is unlikely and not a common occurrence in a dynamic market. "Other things" not always being equal (Choice D) is a general acknowledgement that external factors can impact supply and demand, but it is not necessarily an indication of disobedience to the laws of supply and demand.

Which of the Following Suggests That the "Laws" of Supply