A recent study found that the demand an supply for Frisbies schdules are as follows:a.What are the equilibrium price and quantity of Frisbees?b.Frisbee manufacture persuade the government that frisbee production improves scientists'understanding of areodynamics and thus is important for national security.a concern Congress votes to impose a price floor $2 above the equilibrium price.What is the new market price?How many Frisbees are sold?c.Irate college students march on washington and demand a reduction in the price of Frisbees.An even more concerned Congress votes to repeal the price floor and impose a price ceiling $1 below the former price floor.What is the new market price?How many Frisbees are sold?
Transcribed Image Text:Price per Frisbee Quantity Demanded Quantity Supplied
$11
1 million Frisbees
15 million Frisbees
10
12
4
9
7
8
6
10
1
6.
3.
2.
6.
9.
Definition Video Definition Lowest legal price that can be paid in a market for goods and services, labor, or financial capital. A price floor protects a price from falling below a stipulated level. Video
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