Why do businesses seek an equilibrium price?
(1 point)
O It ensures that competitors cannot offer lower prices.
O It attracts the largest possible number of consumers to the business.
O It provides the highest possible prices that consumers will pay for each product.
O It prevents shortages and surpluses by producing the right number of goods for the right price.
O It prevents shortages and surpluses by producing the right number of goods for the right price.
What is a reason that market prices are not always the same as equilibrium prices?
(2 points)
O Market prices are often set by buyers rather than by sellers.
O Supply and demand are not well-understood by business owners.
O
The equilibrium is not always the most profitable price point.
0
It is not always practical for businesses to change their prices on a daily basis in order to reflect the
equilibrium price
O Market prices are often set by buyers rather than sellers.
O It is not always practical for businesses to change their prices on a daily basis in order to reflect the equilibrium price.
How do markets keep producers from increasing prices?
(1 point)
O Higher prices cause demand shifts.
O Higher prices cause supply shifts.
O Higher prices decrease quantity sold.
O Higher prices decrease consumer demand.