Graph the demand and supply curves. What is the equilibrium price and quantity in the market for pens?  Suppose, if the price of the pen is fixed at 40 and 10, analyze its impact on the market for pens.

Principles of Microeconomics
7th Edition
ISBN:9781305156050
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter4: The Market Forces Of Supply And Demand
Section: Chapter Questions
Problem 8PA
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  1. Given the following individual demand and supply schedules for pen and answer the following the questions using completely labeled graph for each part.

Price

Demand by Ali

Demand by Eman

Supply by Piano

Supply by Parker

10

500

750

100

350

20

400

650

200

450

30

300

550

300

550

40

200

450

400

650

50

100

350

500

750

 

  1. Graph the demand and supply curves. What is the equilibrium price and quantity in the market for pens? 
  2. Suppose, if the price of the pen is fixed at 40 and 10, analyze its impact on the market for pens. 
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