The supply of seats for a psychology class at 10 a.m. is the same as the supply of seats for the same class at 2 p.m.. There is a surplus of seats for the class at 2 p.m. and there is a shortage of seats in the 10 a.m. class. If tuition does not vary by time of day, it follows that the demand for the 10 a.m. class is __________ the demand for the 2 p.m. class, ceteris paribus .

Question

The supply of seats for a psychology class at 10 a.m. is the same as the supply of seats for the same class at 2 p.m..  There is a surplus of seats for the class at 2 p.m. and there is a shortage of  seats in the 10 a.m. class. If tuition does not vary by time of day, it follows that the demand for the 10 a.m. class is __________ the demand for the 2 p.m. class,  ceteris paribus .

Quizplus · Accepted Answer

If there is a shortage of seats for the 10 a.m. class and a surplus of seats for the 2 p.m. class, it means that more students are interested in taking the 10 a.m. class than the 2 p.m. class, ceteris paribus. Therefore, the demand for the 10 a.m. class is greater than the demand for the 2 p.m. class.

The Supply of Seats for a Psychology Class at 10