The equilibrium price is the intersection of the supply and demand curves. Markets reach equilibrium because prices that are above and below an equilibrium price lead to surpluses and shortages ...

Equilibrium is a state in which market supply and demand balance each other. As a result, prices become stable. Learn how equilibrium impacts investors.

In microeconomics, economic equilibrium may also be defined as the price at which supply equals demand for a product, in other words where the hypothetical supply and demand curves intersect. 1 ...

Equilibrium Price and Quantity Both supply and demand are depicted on the same graph to show their interaction.

The equilibrium price and quantity are p*=4 and Q*=3000. c) The tax will increase the total cost by Q ($1 times the quantity produced Q). The tax will increase the price by $1 and the quantity will ...