What term signifies the price at which quantity supplied equals quantity demanded?

• A. Nuptials
• B. Exceed
• C. Equilibrium price
• D. GDP (Gross Domestic Product)

Answer: (C)

The key idea here is finding the price that clears the market, meaning the point where the quantity suppliers want to sell matches the quantity buyers want to buy. This price is called the equilibrium price. At the equilibrium, the market is balanced, and the corresponding quantity is the equilibrium quantity. If the price rises above this point, a surplus occurs because suppliers want to sell more than buyers want to purchase. If the price falls below it, a shortage occurs because buyers want more than suppliers are willing to offer. The term that names this price is equilibrium price. Nuptials relates to marriage, Exceed is a general verb, and GDP measures overall economic output, not the balance between supply and demand.