Question

Question 4
………………… a dominant role in determining equilibrium price in the short period:
(a) Demand plays
(b) Supply plays
(c) Demand and supply play
(d) None of the above

Answer 1

Answer:

Supply plays is a dominant role in determining equilibrium price in the short period.

Answer 2

Demand plays a dominant role in determining equilibrium price in a short period.

How demand plays a dominant role in equilibrium price in a short period?

• The Price of any product depends upon the demand of the product in the market
• People interested in buying and selling any product depends upon the demand of the product
• The equilibrium price changes when the demand or supply of any product change
• When the quantity of the product changes then the demand is elastic