The number of seats available in a stadium is fixed at 80,000. The equilibrium price for a ticket to a football game at the stadium is $30. The equilibrium price for a ticket to a soccer match at the stadium is $10. Which of the following is true?
A) Football games must be more expensive to produce than a soccer match.
B) The demand for each football game must be more than the demand for each soccer match.
C) The supply of soccer matches must be less elastic than the supply of football games.
D) The demand for each soccer game must be greater than the demand for each football game.

Question

Quizplus · Accepted Answer

The higher equilibrium price for football games ($30) compared to soccer matches ($10) suggests that the demand for football games is higher. This is because, with a fixed number of seats (supply), the price is determined by how much people are willing to pay, which is a function of demand.

The Number of Seats Available in a Stadium Is Fixed