Market equilibrium occurs when

Question

Quizplus · Accepted Answer

Market equilibrium occurs when the quantity demanded equals the quantity supplied. This means that there is no excess supply or excess demand in the market, and the market price remains stable. Option B is incorrect because market equilibrium can happen even if the market is changing slowly or not changing at all. Option C is partially correct, but it is not the complete definition of market equilibrium. Option D is incorrect because buyers may not always get the lowest possible price in a market equilibrium. Option E is also incorrect because there could be cases where not everyone who wants the good gets the quantity they want, but the market is still in equilibrium.

Market Equilibrium Occurs When