Market price or equilibrium price can be defined as the price at
which quantity demanded equals the quantity supplied. At this stage, there is
no pressure for price to change.
The
following is the diagrammatic representation of both the demand and supply
schedule together which shows the Market price or equilibrium price.
In
the above given diagram, the equilibrium point C is where demand and supply
interact. At this point, price is Rf.20 the quantity demanded and supplied is
24 hundred apples per week.
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