Question

<!--td {border: 1px solid #ccc;}br {mso-data-placement:same-cell;}--> Which of the following is correct alternative

1) Equilibrium= Demand - Supply
2) Equilibrium= Demand = Supply
3) Equilibrium= Demand + Supply

• A. 1 only
• B. 2 only
• C. 1 and 3
• D. All of the above.

Answer 1

The correct option is B 2 only

<!--td {border: 1px solid #ccc;}br {mso-data-placement:same-cell;}--> Equilibrium is point at which the amount of the product consumers want at certain price is equal to amount of producer want to sell at same price thus Equilibrium = Demand = Supply.