Price Ceiling - Price is fixed below the equilibrium price, Price Floor - Price is fixed above the equilibrium price , Excess Supply - Situation when Quantity Demanded Quantity supplied at prevailing market price, Decrease in demand < Decrease in supply - Equilibrium price rises and Equilibrium quantity falls., Viable industry - Supply curve and demand curve intersect each other in positive axes, increase in demand = increase in supply - Equilibrium price remains the same, Qd  = 100 - P; Qs = 40 + 2P - Equilibrium Price = Rs. 20; Equilibrium quantity = 80,

Price determination and simple applications

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