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Question Practice

What role does the 'invisible hand' play in achieving market equilibrium?

Attempt the question, check the explanation, and continue with similar questions to build confidence before exams.

MCQ_SA
CBSE
Class 12
Economics
Introductory Microeconomics
Market Equilibrium
Question Bank

What role does the 'invisible ...

Single Answer MCQ
Q-00089603

What role does the 'invisible hand' play in achieving market equilibrium?

1

It keeps prices fixed

2

It ensures demand is always higher than supply

3

It helps adjust prices based on supply and demand

4

It eliminates all market failures

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Q3.

What occurs at a price above the equilibrium price?

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Q4.

What is the equilibrium price in a perfectly competitive market?

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