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Catalogues containing price quotations are generally construed as invitations to offer rather than offers. True or False

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Final answer:

The statement is false because, in a competitive market, sellers and buyers adjust their prices and quantities to reach an equilibrium point where the demand and supply are equal.

Step-by-step explanation:

The statement “In the goods market, no seller would be willing to sell for less than the equilibrium price” is false because, in a competitive market, sellers and buyers adjust their prices and quantities to reach an equilibrium point where the demand and supply are equal.

If a seller were to sell below the equilibrium price, they would face a shortage of buyers and would not be able to sell all their goods. This would lead to a decrease in their profits.

For example, let's say the equilibrium price for a product is $10. If a seller tries to sell it for $8, there would be a higher demand for the product but a limited supply.

As a result, some buyers would not be able to purchase the product, creating a shortage. On the other hand, if a seller tries to sell it for $12, there would be a surplus of goods as the supply exceeds the demand, and the seller would struggle to find buyers.

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