Refer to the accompanying figure to answer the questions that follow.

-Refer to the accompanying table,where Q represents the quantity produced,internal cost and social cost are given for various quantities,and P represents the price consumers are willing to pay for various quantities. The market equilibrium occurs where price is __________ and quantity is __________.

Question

Refer to the accompanying figure to answer the questions that follow.
 
-Refer to the accompanying table,where Q represents the quantity produced,internal cost and social cost are given for various quantities,and P represents the price consumers are willing to pay for various quantities.  The market equilibrium occurs where price is __________ and quantity is __________.

Quizplus · Accepted Answer

The market equilibrium occurs where the quantity demanded equals the quantity supplied. At a price of $60, both the internal cost and social cost are equal to the price consumers are willing to pay, so the quantity of 300 is produced and consumed. This is the only point where supply equals demand and the market is in equilibrium.

Refer to the Accompanying Figure to Answer the Questions That