The most important characteristic of the equilibrium price is that it:

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The equilibrium price is the price at which the quantity demanded by consumers is equal to the quantity supplied by producers. This is also called the market-clearing price since the market is in equilibrium, meaning that there is no excess supply or demand. The equilibrium price is not necessarily the price that guarantees producers a profit, nor does it necessarily increase or decrease the quantity demanded.

The Most Important Characteristic of the Equilibrium Price Is That