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In a Free Market, the Market Moves to an Equilibrium

question 251

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In a free market, the market moves to an equilibrium because buyers compete against sellers to get the lowest possible prices.


Definitions:

Self-serving Bias

The common human tendency to attribute positive events to one's own character but attribute negative events to external factors.

Spotlight Effect

The tendency to overestimate the extent to which our actions and appearance are noticed and evaluated by others.

Negative-emotion Words

Words that convey or evoke feelings of sadness, anger, fear, or other negative emotional states, often analyzed in psychological studies of emotion and language.

Big Five

represents a model outlining five broad dimensions of personality traits: openness, conscientiousness, extraversion, agreeableness, and neuroticism, used to describe human personality.

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