What is Equilibrium market price?
An '''equilibrium market price''' is the [[price]] at which there is no [[wikt:tendency|tendency]] for it to change. When price is lower than the equilibrium price, [[quantity demanded]] will be greater than [[quantity supplied]]. There will be a tendency for the price to increase. When price is higher than the equilibrium price, quantity supplied will be greater than quantity demanded. There will be a tendency for the price to decrease. Equilibrium market price is attained when the quantity demanded equals quantity supplied. It is sometimes called '''market clearing price'''. {{stub}} [[Category:Microeconomics]]