Consider the hypothetical supply and demand of Kidneys. If the government allows the buying and selling of kidneys,what will be the resulting price and quantity of kidneys?
A) (0, 900)
B) (1200, 2000)
C) (1500, 900)
D) No kidneys would be exchanged.

Question

Consider the hypothetical supply and demand of Kidneys.  If the government allows the buying and selling of kidneys,what will be the resulting price and quantity of kidneys?
A) (0, 900) 
B) (1200, 2000) 
C) (1500, 900) 
D) No kidneys would be exchanged.

Quizplus · Accepted Answer

Assuming that the demand for kidneys is high and there is a limited supply (as is typically the case), allowing the buying and selling of kidneys would create a market for kidneys. The price of kidneys would rise to a point where the supply meets the demand. Based on the given hypothetical scenario, option B (1200, 2000) seems like a reasonable price and quantity for kidneys to be exchanged. Option A is not feasible since the quantity demanded is higher than the maximum available quantity. Option C is not feasible since the price is too high and not enough buyers would be willing to purchase kidneys. Option D is not feasible since a market for kidneys would definitely exist due to the demand.

Consider the Hypothetical Supply and Demand of Kidneys