Assume the following information for the demand and supply curves for good Z.
Price (in $)
Demand (in units)
Supply (in units)
1
100
10
2
90
15
3
80
20
4
70
25
5
60
30
6
50
35
7
40
40
8
30
45
9
20
50
10
10
55
1. Draw the corresponding supply and demand curves.
2. What are the equilibrium price and quantity traded?
3. Would a price of $9 result in a shortage or a surplus? How large?
4. Would a price of $3 result in a shortage or a surplus? How large?
5. If the demand for Z increases by 15 units at every price, what would be the new equilibrium price and quantity traded be?
6. Given the original demand for Z, if the supply of Z were increased by 15 units at every price, what would be the new equilibrium price and quantity traded be?
Assume the following information for the demand and supply curves for good Z.
| Price (in $) | Demand (in units) | Supply (in units) |
| 1 | 100 | 10 |
| 2 | 90 | 15 |
| 3 | 80 | 20 |
| 4 | 70 | 25 |
| 5 | 60 | 30 |
| 6 | 50 | 35 |
| 7 | 40 | 40 |
| 8 | 30 | 45 |
| 9 | 20 | 50 |
| 10 | 10 | 55 |
1. Draw the corresponding supply and demand curves.
2. What are the equilibrium price and quantity traded?
3. Would a price of $9 result in a shortage or a surplus? How large?
4. Would a price of $3 result in a shortage or a surplus? How large?
5. If the demand for Z increases by 15 units at every price, what would be the new equilibrium price and quantity traded be?
6. Given the original demand for Z, if the supply of Z were increased by 15 units at every price, what would be the new equilibrium price and quantity traded be?
Related textbook solutions
Related questions
The following table gives the demand and supply scheddules for widgets.
|
Price |
Quantity Demanded |
Quantity Supplied |
|
$35 |
133 |
220 |
|
$30 |
147 |
205 |
|
$25 |
161 |
190 |
|
$20 |
175 |
175 |
|
$15 |
189 |
160 |
The equilibrium price in this is $___.
The equilibrium quantity in this market is ___ unit.
If this price in this market was $30, there would be a ___ (A.) shortage, B.) surplus) of ___ units
|
Demand for Umbrellas |
Price |
Supply of Umbrellas |
Surplus (+) or Shortage (-) |
|
90 |
$5 |
0 |
|
|
80 |
$10 |
20 |
|
|
70 |
$15 |
40 |
|
|
60 |
$20 |
60 |
|
|
50 |
$25 |
80 |
|
|
40 |
$30 |
100 |
Use the information in the table to fill in the blanks.
a. For $5, there is a (shortage, surplus) of units.
b. For $10, there is a (shortage, surplus) of units.
c. For $15, there is a (shortage, surplus) of units.
