Market Clearing

In economics, market clearing refers to either

  1. a simplifying assumption made by the new classical school that markets always go to where the quantity supplied equals the quantity demanded; or
  2. the process of getting there via price adjustment.

Read more about Market Clearing:  On Market Clearing

Famous quotes containing the words market and/or clearing:

    “But the nomads were the terror of all those whom the soil or the advantages of the market had induced to build towns. Agriculture therefore was a religious injunction, because of the perils of the state from nomadism.”
    —Ralph Waldo Emerson (1803–1882)

    “Though the words Canada East on the map stretch over many rivers and lakes and unexplored wildernesses, the actual Canada, which might be the colored portion of the map, is but a little clearing on the banks of the river, which one of those syllables would more than cover.”
    —Henry David Thoreau (1817–1862)