When quantity supplied equals quantity demanded:
A) equilibrium is reached.
B) the market pushes the economy to produce more.
C) the market pushes the economy to produce less.
D) the market ceases to function.

Question

Quizplus · Accepted Answer

When quantity supplied equals quantity demanded, it means that the market is in balance and there is no excess supply or demand. This is known as equilibrium, and it is the point where the price and quantity of a good or service are stable. At this point, there is no need for the market to push the economy to produce more or less, as the market is functioning efficiently.

When Quantity Supplied Equals Quantity Demanded