The General Equilibrium Theory is used in business to analyze and predict the behavior of multiple markets simultaneously. It can be applied to assess the impact of changes in one market on other markets, helping businesses to make strategic decisions. For example, it can be used to understand how a change in the price of a raw material might affect the prices of the finished goods. It can also be used to analyze the effects of economic policies on businesses.
Have you ever had to dissect a complicated business scenario and were confused as to where to begin,...
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