Disequilibrium meaning in terms of commerce?
Answers
Answer:
Disequilibrium is a situation where internal and/or external forces prevent market equilibrium from being reached or cause the market to fall out of balance. ... Disequilibrium is also used to describe a deficit or surplus in a country's balance of payments.
Explanation:
Answer:
Explanation:
Disequilibrium is a situation where internal and/or external forces prevent market equilibrium from being reached or cause the market to fall out of balance. ... Disequilibrium is also used to describe a deficit or surplus in a country's balance of payments
Disequilibrium occurs when the markets fail to clear and find their final equilibrium point. Disequilibrium could occur if the price was below the market equilibrium price causing demand to be greater than supply, and therefore causing a shortage. Disequilibrium can occur due to factors such as government controls, non-profit maximising decisions and ‘sticky’ prices.