Asked by Maria Ojile on Jun 05, 2024
Verified
What would the demand and supply curves look like that are associated with a market in which price,supply,and demand are the only factors involved?
A) They would be reciprocals of each other.
B) They would run parallel to each other.
C) They would intersect at the market equilibrium.
D) They would be straight lines that run in opposite directions.
Demand Curves
A graphical representation showing the relationship between the price of a good or service and the quantity demanded for a given period.
Supply Curves
Graphical representations showing the relationship between the price of a good and the quantity of the good that suppliers are willing to offer for sale.
Market Equilibrium
A condition in which the supply of a good matches demand, leaving neither surplus nor shortage in the market.
- Grasp the principles of market systems, including demand, supply, and market equilibrium.
Verified Answer
PJ
Prince JuujuJun 11, 2024
Final Answer :
C
Explanation :
In a market where price, supply, and demand are the only factors, the demand curve would slope downward and the supply curve would slope upward. They would intersect at a single point, which represents the equilibrium price and quantity at which both the buyers and sellers are satisfied. Therefore, the correct answer is C.
Learning Objectives
- Grasp the principles of market systems, including demand, supply, and market equilibrium.