goods or services.
excess demand
A situation in which, at the given price, quantity demanded exceeds
quantity supplied.
excess supply
A situation in which, at the given price, quantity supplied exceeds
quantity demanded.
equilibrium price
The price at which quantity demanded equals quantity supplied. Also
called the market-clearing price.
disequilibrium price
A price at which quantity demanded does not equal quantity supplied.
disequilibrium
A situation in a market in which there is excess demand or excess supply.
comparative statics
The derivation of predictions by analyzing the effect of a change in a
single exogenous variable on the equilibrium.
absolute price
The amount of money that must be spent to acquire one unit of a product.
Also called money price.