Question

How do you price changes drive markets toward equilibrium?

A. They set new price floors and ceilings
B. They increase or decrease supply or demand
C. They ensure prices are fair
D. They prevent inflation or deflation

Answer 1

They increase or decrease supply or demand

Step-by-step explanation:

This option fits best an equilibrium is achieved when supply and demand are equal. Price changes influence these rates.

Answer 2

The answer would be letter B.