In the context of economic theory, which of the following correctly describes the two stages of establishing general equilibrium in an economy?
1
The first stage deals with the preferences of consumers and producers, while the second stage focuses on the determination of prices in all markets
2
The first stage involves the assessment of supply and demand in individual markets, and the second stage examines the interconnectedness of these markets
3
The first stage focuses on the allocation of resources, while the second stage deals with the distribution of goods and services among the population
4
The first stage concerns short-term market fluctuations, whereas the second stage addresses long-term market stability and growth