CIPS Exam L3M1 Topic 4 Question 14 Discussion

Actual exam question for CIPS's L3M1 exam

Question #: 14
Topic #: 4

[All L3M1 Questions]

Thinking about supply and demand, there is one price at which producers wish to sell the same amount as customers wish to buy: in other words, the market 'clears', without either a surplus of supply or unsatisfied demand. This price is called the - - - - - - - - price.

AEquidistant

BEquilibrium

CClearing

DEquivalium

Show Suggested Answer

Suggested Answer: D

The correct answer is, of course, 'monopoly'.

by Candida at Jul 03, 2024, 02:11 PM

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Corrie

1 months ago

I was tempted by C) Clearing, but B) Equilibrium is the classic term for that market-clearing price. Though 'Equivalium' does have a nice ring to it!

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Derick

6 days ago

I agree, 'Equilibrium' is the classic term used in economics for that price point.

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Burma

6 days ago

I was tempted by C) Clearing too, but 'Equilibrium' is the right answer.

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Noel

8 days ago

I think you're right, B) Equilibrium is the correct term for that market-clearing price.

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Michell

15 days ago

Yeah, 'Equilibrium' is the classic term used in economics.

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Fannie

17 days ago

I think B) Equilibrium is the correct term for that market-clearing price.

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Ammie

2 months ago

D) Equivalium? Really? Sounds like someone's trying to be clever, but B) Equilibrium is the correct answer.

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Gabriele

5 days ago

C) Clearing

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Merissa

9 days ago

B) Equilibrium

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Yoko

1 months ago

A) Equidistant

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Raylene

2 months ago

Hmm, 'Clearing' price sounds like the right term, but I think B) Equilibrium is the more standard economic concept they're looking for here.

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Ty

1 months ago

I think Equilibrium is the term they're looking for in this case.

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Mohammad

1 months ago

I'm not sure, but I think Equilibrium makes sense here.

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Alison

1 months ago

I agree, I think B) Equilibrium is the correct term in this context.

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Brittni

2 months ago

I was a bit confused at first, but now I see it's the price where the market clears, without surplus or shortage. B) Equilibrium is the way to go.

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Kandis

8 days ago

Yes, B) Equilibrium is the price where supply and demand meet.

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Yolando

16 days ago

I think you're right, it's all about finding that perfect balance.

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Claribel

1 months ago

That makes sense, it's the balance point between supply and demand.

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King

1 months ago

I agree, B) Equilibrium is the correct answer.

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Ellsworth

2 months ago

The equilibrium price is the one that balances supply and demand - that seems to be the right answer. B) Equilibrium.

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Leatha

1 months ago

Yes, the equilibrium price is where supply and demand are balanced.

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Leatha

1 months ago

B) Equilibrium

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Tresa

2 months ago

I'm not sure, but I think it's C) Clearing because it sounds like the market clears at that price.

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Eleonore

2 months ago

I agree with Man, because at equilibrium price, supply equals demand.

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Man

2 months ago

I think the answer is B) Equilibrium.

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