Question

Equilibrium state is achieved at ________.

• A. the peak point of supply curve
• B. the bottom point of demand curve
• C. the inflection point of demand curve
• D. the intersection of demand and supply curve

Answer 1

Answer: (D)

the intersection of demand and supply curve

Equilibrium state is that state where the quantity of goods supplied is equal to the quantity of goods demanded. Hence, graphically equilibrium state is achieved at the intersection of demand and supply curve.