Jon P.Farmer is the founder of Kolopua Hawaii LLC,a company that markets Pure Hawaiian Air.Bottles of Pure Hawaiian Air contain air that smells like the floral bouquet that greets tourists as they get off the plane in Hawaii.When a tourist shop began selling Pure Hawaiian Air,it charged $5 per bottle and could not keep up with the demand.It has since raised the price to $7.Now the shop is still selling all the bottles of Pure Hawaiian Air it carries,but the owner is not forced to reorder on a daily basis.What is the $7 price likely to be?

Question

Quizplus · Accepted Answer

When demand and supply are approximately equal,price equilibrium is reached.

Jon PFarmer Is the Founder of Kolopua Hawaii LLC,a Company That