QUESTION ONE1.1 Using the diagram below, defend the point that a free market will always move fromdisequilibrium to equilibrium according to demand and supply theory.1.2PricePPP₂Excess supplyExcess demandleDQuantityDistinguish between microeconomics and macroeconomics according to economic theory.Provide examples to motivate your answer.

QUESTION ONE 1.1 Using the diagram below, defend the point that a free market will always move from disequilibrium to equilibrium according to demand and supply theory. S Price P₁ P P₂ Excess supply Excess demand 1 le D Quantity

QUESTION ONE 1.1 Using the diagram below, defend the point that a free market will always move from disequilibrium to equilibrium according to demand and supply theory. S Price P₁ P P₂ Excess supply Excess demand 1 le D Quantity

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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