The figure below shows the supply and demand curves for oranges in Smallville. At a price of $4 per pound there will be an excess ________ of ________ pounds of oranges per day.
A)supply; 20
B)demand; 30
C)supply; 10
D)demand; 20

Question

The figure below shows the supply and demand curves for oranges in Smallville.  At a price of $4 per pound there will be an excess ________ of ________ pounds of oranges per day.
A)supply; 20 
B)demand; 30 
C)supply; 10 
D)demand; 20

Quizplus · Accepted Answer

At $4 per pound, the quantity demanded is 30 pounds per day, and the quantity supplied is 10 pounds per day, implying an excess demand of 20 pounds per day.

The Figure Below Shows the Supply and Demand Curves for Oranges