Exhibit 39-4
-Refer to Exhibit 39-4.If the government sets a target price at $5 per bushel,consumers will end up paying __________ for the quantity of wheat they purchase.

Question

Exhibit 39-4 
-Refer to Exhibit 39-4.If the government sets a target price at $5 per bushel,consumers will end up paying __________ for the quantity of wheat they purchase.

Quizplus · Accepted Answer

The target price is $5 per bushel, and the quantity demanded is 400 bushels. So, consumers will end up paying $5 * 400 = $2,000 for the quantity of wheat they purchase.

Exhibit 39-4 -Refer to Exhibit 39-4.If the Government Sets a Target Price