The market supply of lettuce in a small town is shown in the table below. Market Supply of Lettuce Quantity of Lettuce Supplied (heads) Price (dollars) Initial New $3.00 300 2.50 260 2.00 220 1.50 180 1.00 140 0.50 100 a. Suppose there is a decrease in the cost of renting land that allows lettuce growers to produce 50 more heads of lettuce at each price. Find the new quantities supplied at each price, and then complete the new supply schedule in the table. b. At a price of $1.00 per head of lettuce, the original quantity supplied was heads of lettuce and the new quantity supplied is heads of lettuce.
The market supply of lettuce in a small town is shown in the table below. Market Supply of Lettuce Quantity of Lettuce Supplied (heads) Price (dollars) Initial New $3.00 300 2.50 260 2.00 220 1.50 180 1.00 140 0.50 100 a. Suppose there is a decrease in the cost of renting land that allows lettuce growers to produce 50 more heads of lettuce at each price. Find the new quantities supplied at each price, and then complete the new supply schedule in the table. b. At a price of $1.00 per head of lettuce, the original quantity supplied was heads of lettuce and the new quantity supplied is heads of lettuce.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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The market supply of lettuce in a small town is shown in the table below.
Market Supply of Lettuce
| Quantity of Lettuce Supplied (heads) | ||
| Initial | New | |
| $3.00 | 300 | |
| 2.50 | 260 | |
| 2.00 | 220 | |
| 1.50 | 180 | |
| 1.00 | 140 | |
| 0.50 | 100 |
a. Suppose there is a decrease in the cost of renting land that allows lettuce growers to produce 50 more heads of lettuce at each price. Find the new quantities supplied at each price, and then complete the new supply schedule in the table.
b. At a price of $1.00 per head of lettuce, the original quantity supplied was heads of lettuce and the new quantity supplied is heads of lettuce.
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