n We can now put the demand and supply curves
together. This will give us a picture of the market
for dentistry.
n There is only one price at which the quantity of
treatments people want to buy is the same as the
quantity the dentists want to sell. This is called the
equilibrium price Pe. The corresponding quantity
is the equilibrium quantity - Qe. The
equilibrium is a state of rest where there is no
pressure for change.
n At any other price either buyers
or sellers are dissatisfied and act to
change the quantity demanded or
supplied.