Question

1. What is the equilibrium price?

2. What is a surplus?
3. What is a shortage?
4. Why are prices sometimes fixed?
5. What is a price ceiling?

Answer 1

1.a state in which opposing forces or influences are balanced.

2.an amount of something left over when requirements have been met; an excess of production or supply over demand.

3.a state or situation in which something needed cannot be obtained in sufficient amounts.