Figure 2.2.1
-Refer to Figure 2.2.1 above. At a price of $1.50, there is:
A) an excess of quantity demanded over quantity supplied.
B) an excess of quantity supplied over quantity demanded.
C) an alternative equilibrium between supply and demand.
D) a surplus of coffee in the market.

Question

Figure 2.2.1
-Refer to Figure 2.2.1 above. At a price of $1.50, there is:
A) an excess of quantity demanded over quantity supplied. 
B) an excess of quantity supplied over quantity demanded. 
C) an alternative equilibrium between supply and demand. 
D) a surplus of coffee in the market.

Quizplus · Accepted Answer

At a price of $1.50, the quantity demanded is greater than the quantity supplied, resulting in an excess of quantity demanded over quantity supplied.

Figure 2.2.1 -Refer to Figure 2.2.1 Above. at a Price of $1.50