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In economics, the point at which the supply equals the demand is the equilibrium price. If the supply of a product is greater than the demand, there is a surplus and prices fall. If the supply is less than the demand, there is a shortage and prices rise.At what quantity will the prices stabilize? What is the equilibrium price for this product?

Hence, the prices will stabilize at a quantity of $[250,000]$ units, and the equilibrium price for thegiven product is $[\$ 10.00]$

Algebra

Chapter 3

Systems of Equations and Inequalities

Section 1

Solving Systems of Equations by Graphing

Graphs and Statistics

Campbell University

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In economics, the point at…

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00:47

The law of supply and dema…

Okay, So for this problem, we have a graph. Um and then we have a situation and economics, a point at which the supply equals the demand is the equilibrium price. If the supply of a product is greater than the demand, there's a surplus and prices fall. If the supplies less than to demand there is a shortage and prices rise. So our question 29 is at what quantity will the prices stabilize? And what is the equilibrium price for this product? So the point at which the prices stabilized is equilibrium price, so we can identify that right here on our graph, and that's gonna be at $10 the quantity that it will stabilize his 250,000 so the quantity will be 250,000 and then the price at which it stabilizes is $10. Because again, the statement says, the point at which the supply equals the demand is equilibrium price. So we know that equilibrium is the same thing as stabilization, and this point of intersection gives us the equilibrium, price as well as the quantity at which the prices will stabilize, which is 250,000

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