20 120 00 100 80 S 600 1200 1800 1. Use the graph above to answer the following questions: a. Equilibrium Price = _; Equilibrium Quantity = b. If the price is $120 is the market in equilibrium? c. Will there be a surplus or a shortage? d. If so, what is the size of the surplus or shortage? e. If the market is not in equilibrium, do you expect the price to change? Do you Demand Q = 20-2P Supply Q = 5 + 3P expect the price to increase? Decrease?
20 120 00 100 80 S 600 1200 1800 1. Use the graph above to answer the following questions: a. Equilibrium Price = _; Equilibrium Quantity = b. If the price is $120 is the market in equilibrium? c. Will there be a surplus or a shortage? d. If so, what is the size of the surplus or shortage? e. If the market is not in equilibrium, do you expect the price to change? Do you Demand Q = 20-2P Supply Q = 5 + 3P expect the price to increase? Decrease?
Chapter4: Demand, Supply, And Market Equilibrium
Section: Chapter Questions
Problem 25P
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