Discover the concept of underemployment equilibrium in economics, its effects on unemployment rates, and why it persists. Explore Keynesian insights into economic downturns.

Discover how competitive equilibrium balances supply and demand in markets, maximizing economic efficiency for profit-driven producers and value-seeking consumers.

Reviewed by Charles PottersFact checked by Yarilet PerezReviewed by Charles PottersFact checked by Yarilet Perez Equilibrium quantity is when there is no shortage or surplus of a product in the market ...

In the context of markets, equilibrium is when there's a balance between supply and demand, causing prices to stabilize. When there's an imbalance between supply and demand, prices tend to fluctuate ...