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ch6s1

vocab

TermDefinition
market equilibrium situation in which the quantity demanded of a good or service at a particular price is equal to the quantity supplied at that price
equilibrium price price at which the quantity of a product demanded by consumers and the quantity supplied by producers are equal
surplus result of quantity supplied being greater than quantity demanded bc price is too high
shortage result of quantity demanded being greater than quantity supplied bc price is too low
disequilibrium imbalance between quantity demanded and quantity supplied
Created by: shortbreadcookie
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