QUESTION IMAGE
Question
price that both suppliers produce the same quantity as the amount buyers demand will result in
a loss of business profits
a shortage
a surplus
every unit produced being sold
When suppliers produce the same quantity as buyers demand, it is a state of equilibrium. In equilibrium, there is neither a shortage (where demand exceeds supply) nor a surplus (where supply exceeds demand), and every unit produced is likely to be sold as the quantity supplied matches the quantity demanded. This does not necessarily mean a loss of business profits as costs and revenues at this equilibrium - price are not specified.
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every unit produced being sold