When a market is in equilibrium, consumers who are not willing to pay the market-clearing price have not made a smart choice.

Question

Quizplus · Accepted Answer

In a market equilibrium, both buyers and sellers have agreed on a price that clears the market, meaning there is no excess supply or demand. Consumers who choose not to pay the market-clearing price have made a choice based on their own preferences and constraints, and it may not necessarily be a smart or correct choice for them. However, it is not accurate to say that they have made an objectively incorrect choice, as this decision is subjective and varies based on the individual's circumstances.

When a Market Is in Equilibrium, Consumers Who Are Not