12. When are equilibrium prices achieved? (1 point) Responses when supply is greater than demand when supply is greater than demand when demand is greater than supply when demand is greater than supply when prices go as high as possible when prices go as high as possible when supply equals demand
Equilibrium prices are achieved when supply equals demand.
Equilibrium prices are achieved when supply equals demand. This is the point at which the quantity of goods or services supplied matches exactly the quantity demanded by consumers at a specific price level. At this point, there is neither excess supply (supply is greater than demand) nor excess demand (demand is greater than supply).
Equilibrium prices are achieved when supply equals demand. This means that the quantity of goods or services supplied by producers matches the quantity of goods or services demanded by consumers in the market.
To determine when equilibrium prices are achieved, you can follow these steps:
1. Gather information on the quantity supplied and the quantity demanded for a particular product or service.
2. Plot the supply and demand curves on a graph with quantity on the horizontal axis and price on the vertical axis.
3. The point at which the supply and demand curves intersect is the equilibrium point.
4. At the equilibrium point, the quantity supplied and the quantity demanded are equal, and the corresponding price is the equilibrium price.
Remember that supply refers to the quantity of a product or service that producers are willing and able to provide at various prices, while demand refers to the quantity of a product or service that consumers are willing and able to purchase at various prices. Equilibrium prices play a crucial role in determining market efficiency and allocating resources effectively.