ECO 1013: CLASS REFLECTION WEEK 4

Assalamulaikum everyone 

Minggu ni dah boleh baik yeay 

Sir ckp if demand and supply tk faham lg, we cannot do this sub topic, soo yeah kita faham kan ye rakan rakan 

MARKET EQUILIBRIUM
1. Definition of Market Equilibrium when quantity demanded, Qd and quantity supplied,Qs are equal and there is no tendency for price or quantity to change

2. Market equilibrium price and quantity

3. Shortageprice set up below than equilibrium price. Qd > Qs

4.  Surplus  price is set up above than equilibrium price Qs > Qd 

5. Maximum price or Ceiling price the government put price below the equilibrium price. Price is not allow to increase. Shortage occurs.

6. Minimum / floor price the government put price above the equilibrium price. Price not allow to decrease. Surplus occurs.

Thanks for reading !

 P/S : Extra video on Price Controls