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Growth Rate

At equilibriu...

Question

At equilibrium level __________.

A

total sales revenue is equal to total cost

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B

aggregate demand is equal to aggregate supply

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C

there is no profit no loss

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D

firms just manage to survive

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Solution

The correct option is B aggregate demand is equal to aggregate supply
At equilibrium level aggregate demand is equal to aggregate supply. This is the state where the market forces demand and supply are same and there can be no change in the price. This is the state where the ideal market price is achieved.

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