The Point at Which the Supply Curve and the Demand

question 75

Multiple Choice

The point at which the supply curve and the demand curve intersect is called:

• A) equilibrium, because quantity demanded equals quantity supplied so there is no tendency for price to change.
• B) equilibrium, because quantity demanded exceeds quantity supplied so there is a shortage.
• C) equilibrium, because quantity supplied exceeds quantity demanded so there is a surplus.
• D) irrelevant, because real-world prices never reach this point.

---

Definitions:

Sensory Coding

The process by which sensory organs translate stimuli into neural signals that can be interpreted by the brain to form perceptions.

Qualitative Differences

Distinctions based on qualities or characteristics that are not quantifiable by number, often involving variations in kind rather than degree.

Nervous System

The nervous system is a complex network of nerves and cells that carries messages between the brain and spinal cord to various parts of the body.

Skin Sensations

The subjective feelings or perceptions resulting from the stimulation of sensory receptors in the skin, including touch, pressure, heat, cold, and pain.