Economic shocks disrupt market equilibrium from "summary" of Business Cycles and Equilibrium by Fischer Black
When economic shocks hit, they have the power to shake up the delicate balance of market equilibrium. The smooth functioning of markets, where demand equals supply and prices adjust accordingly, can be thrown off course by unexpected events or developments. These shocks can come in many forms, such as changes in consumer preferences, technological advancements, or government policies. Regardless of the source, the impact is often felt throughout the economy as a whole, leading to disruptions in the normal flow of goods, services, and capital. In response to these disruptions, market participant...
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