Equilibrium — Social Studies definition
A condition where quantity demanded equals quantity supplied in the model.
Where it is taught
- Supply, Demand, Equilibrium & Market Changes — Economic Foundations & Market Decisions, Government, Civic Participation & Economics, Grade 12
In use
In a simple competitive model, equilibrium occurs where quantity demanded equals quantity supplied.
Supply, Demand, Equilibrium & Market Changes
Questions using equilibrium
Problem 1
Why is market equilibrium different from every person’s needs being met?
Answer and explanation
Equilibrium equates market quantities under defined conditions. Demand includes purchasing capacity, so needs without that capacity may not appear as purchases. Distribution, access, and other effects require additional evidence and criteria.