Which statement is true when a competitive equilibrium is achieved in a market?

Question

Quizplus · Accepted Answer

When a competitive equilibrium is achieved in a market, it means that the market has reached the point where the supply and demand curve intersect, and the quantity demanded equals the quantity supplied at a given price. At this point, the total net benefit to society is maximized because there is no deadweight loss. The economy operates at the most efficient point, where the total benefits to consumers are equal to the total benefits to producers. This means that both consumers and producers are better off than they would have been if a price ceiling or price floor was imposed by the government. Therefore, statement B is the correct answer.

Which Statement Is True When a Competitive Equilibrium Is Achieved