Exhibit 4-6
$$\begin{array} { r c c }
\hline \text { Price } & \begin{array} { c }
\text { Quantity } \
\text { demanded }
\end{array} & \begin{array} { c }
\text { Quantity } \
\text { supplied }
\end{array} \
\hline \$ 1.00 & 100 & 10 \
1.20 & 90 & 30 \
1.40 & 80 & 50 \
1.50 & 70 & 70 \
1.60 & 60 & 90 \
\hline
\end{array}$$
-Refer to the exhibit.Suppose the price of the good is $1.50.Is there a shortage or a surplus, and by what amount?

Question

Exhibit 4-6
 $$\begin{array} { r c c } 
\hline \text { Price } & \begin{array} { c } 
\text { Quantity } \
\text { demanded }
\end{array} & \begin{array} { c } 
\text { Quantity } \
\text { supplied }
\end{array} \
\hline \$ 1.00 & 100 & 10 \
1.20 & 90 & 30 \
1.40 & 80 & 50 \
1.50 & 70 & 70 \
1.60 & 60 & 90 \
\hline
\end{array}$$
-Refer to the exhibit.Suppose the price of the good is $1.50.Is there a shortage or a surplus, and by what amount?

Quizplus · Accepted Answer

At a price of $1.50, the quantity demanded and the quantity supplied are both equal to 70 units. Therefore, there is no shortage or surplus and the market is in equilibrium.

Exhibit 4-6 -Refer to the Exhibit