TABLE 4-2

-Refer to Table 4-2. If D₁ and S₁ represent the demand and supply schedules in a particular market, then what are the equilibrium price and quantity in that market?

Question

TABLE 4-2
 
-Refer to Table 4-2. If D₁ and S₁ represent the demand and supply schedules in a particular market, then what are the equilibrium price and quantity in that market?

Quizplus · Accepted Answer

The equilibrium price and quantity occur where the quantity demanded equals the quantity supplied. In this case, that occurs at a price of $6 and a quantity of 13 units. At that price, consumers want to buy 13 units and producers are willing to supply 13 units, resulting in a market equilibrium.

TABLE 4-2 -Refer to Table 4-2. If D₁ and S₁ Represent the and S₁