Equilibrium of supply and demand

graph explanation, look at excess supply and excess demand, how increasing demand will lead to an increase in price and an increase in supply will lead to a decrease of the price. This will always converge to the equilibrium point of the graph.

Answered by Alex B. Economics tutor

2484 Views

See similar Economics A Level tutors

Related Economics A Level answers

All answers ▸

What is Macroeconomics?


Explain the difference between the Monetarist and Keynesian views of unemployment


I am not convinced of the inter-related nature of the economy. How could increased productivity in Europe impact upon British house prices?


How can taxes reduce the effect of negative externalities?


We're here to help

contact us iconContact usWhatsapp logoMessage us on Whatsapptelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

© MyTutorWeb Ltd 2013–2024

Terms & Conditions|Privacy Policy
Cookie Preferences