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When Increased Demand for Urban Services Combines with a Shrinking

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When increased demand for urban services combines with a shrinking tax base (where businesses and affluent people move out to the suburbs and beyond) ,central cities around the country struggle with


Definitions:

Equilibrium Price

The price at which the quantity of a good demanded by consumers equals the quantity supplied by producers, leading to market equilibrium.

Surplus

The situation in which the quantity supplied of a good exceeds the quantity demanded at a given price.

Quantity Demanded

The overall quantity of a product or service that buyers are ready to buy at a specific price.

Quantity Supplied

How much of a product or service that sellers are willing and able to transact at a given price level.

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