THE ROLE OF SUPPLY AND DEMAND THEORY IN FORMING MARKET EQUILIBRIUM

This article analyzes the importance of the theory of supply and demand in the formation of market equilibrium. The interaction of the laws of supply and demand, the formation of equilibrium price and quantity, the concepts of short- and long-term equilibrium and elasticity are covered based on Shodmanov's textbook "Theory of Economics". Also, using modern economic literature and Internet resources, it is shown how the functioning of the market mechanism, real examples and the impact of state regulatory policy on market equilibrium are shown. The results of the research are of practical importance in ensuring economic stability and understanding market processes.