The price that consumers pay and that producers receive exactly balances the marginal benefit and marginal cost of consuming and producing a good or service when:_________

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26-08-2022
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The price that consumers pay and that producers receive exactly balances the marginal benefit and marginal cost of consuming and producing a good or service when:_________

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jaquelinefvr jaquelinefvr · Answer 1 · 2022-08-30T13:06:29+02:00

The price that consumers pay and that producers receive exactly balances the marginal benefit and marginal cost of consuming and producing a good or service when the market is in equilibrium.

When is the market in equilibrium?

This situation occurs when the supply and demand curves intersect, that is, when the quantity of demand corresponds to the same quantity of supply, increasing stability in prices, in the purchasing power of the population and in industrial productivity.

Therefore, market equilibrium is the ideal situation for an economy, by controlling prices, reducing scarcity when there is low supply and controlling inflation.

Find out more about supply and demand here:

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