Economics Supply And Demand Questions
Equilibrium refers to a state in which the quantity demanded of a good or service is equal to the quantity supplied, resulting in no shortage or surplus. It represents a balance between supply and demand.
Stability, on the other hand, refers to the ability of a market to maintain its equilibrium over time. A stable market is one that is not easily disrupted by external factors and can quickly return to its equilibrium position after a disturbance. It implies that the market is able to adjust smoothly to changes in supply or demand without causing significant fluctuations or disruptions.