Examlex
______ thinking begins with a clear starting point and has a specific goal.
Competitive Equilibrium
A market state where supply meets demand, leading to an optimized distribution of goods and services among competing actors.
Excess Demand
A situation in which the quantity demanded of a good exceeds the quantity supplied at a given price, often leading to upward pressure on prices.
Competitive Pure Exchange Economy
An economic model where agents trade existing goods without the production of new goods, guided purely by their own self-interest to find an equilibrium.
Contract Curve
In economics, a curve that shows the efficient allocations of goods or services that benefit two parties in an exchange, assuming no externalities.
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