-In Figure 3-8,using the supply and demand curves denoted S₁ and D₁,respectively,the equilibrium price and quantity are
A) $100 and 50,000
B) $100 and 100,000
C) $120 and 50,000
D) $120 and 75,000
E) $120 and 100,000

Question

-In Figure 3-8,using the supply and demand curves denoted S₁ and D₁,respectively,the equilibrium price and quantity are
A) $100 and 50,000 
B) $100 and 100,000 
C) $120 and 50,000 
D) $120 and 75,000 
E) $120 and 100,000

Quizplus · Accepted Answer

The equilibrium price is the price at which the quantity supplied equals the quantity demanded. In this case, the equilibrium price is $100. The equilibrium quantity is the quantity that is bought and sold at the equilibrium price. In this case, the equilibrium quantity is 50,000.

-In Figure 3-8,using the Supply and Demand Curves Denoted S₁