What term refers to the price at which the quantity supplied equals the quantity demanded?

The term that refers to the price at which the quantity supplied equals the quantity demanded is known as the equilibrium price. In the context of supply and demand, the equilibrium price is the point at which the supply curve and the demand curve intersect. At this price, the amount of goods that producers are willing to sell is exactly equal to the amount consumers are willing to buy, leading to a stable market condition where there is no surplus or shortage of the good.

This concept is fundamental in economics because it helps understand how markets function, how prices are determined, and how changes in supply and demand can influence that equilibrium. When there are shifts in either the supply or demand curves, the equilibrium price can change, resulting in adjustments to the market.

Other terms like market price, supply price, and demand price do not precisely describe the balance between supply and demand but rather refer to broader or specific aspects of pricing in market contexts. Market price can fluctuate based on various factors and may not always reflect equilibrium. Supply and demand prices focus on individual perspectives, serving specific sellers or buyers, rather than the overall market balance represented by equilibrium price.