If a Market Is NOT in Equilibrium, Then Which of the Following

question 172

Multiple Choice

If a market is NOT in equilibrium, then which of the following is likely to occur?

• A) The demand curve will shift to bring the market to equilibrium.
• B) The price will adjust to bring the market to equilibrium.
• C) The supply curve will shift to bring the market to equilibrium.
• D) Both A and B are correct.

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Definitions:

Disclosure

The act of making new or important information known, especially regarding the financial state or performance of a company.

Material Events

Significant events that are likely to influence financial decisions or valuations of investors and analysts, requiring prompt disclosure by the entity involved.

Legal Action

Involves seeking remedy or resolution through judicial processes, including lawsuits or litigation, typically to enforce or protect legal rights or settle disputes.

Valuation

The process of determining the present value of an asset or company based on earnings, assets, and other relevant factors.