The demand and supply schedules for a hypothetical Canadian market for barley are given below:
TABLE 3-3
-Refer to Table 3-3.At a price of $200 per tonne there would be an excess ________ million tonnes of barley.

Question

The demand and supply schedules for a hypothetical Canadian market for barley are given below:
  TABLE 3-3
-Refer to Table 3-3.At a price of $200 per tonne there would be an excess ________ million tonnes of barley.

Quizplus · Accepted Answer

At a price of $200 per tonne, the quantity supplied is 500 million tonnes, while the quantity demanded is only 430 million tonnes. Therefore, there is an excess (or surplus) of 70 million tonnes of barley. The answer is option E, which states a supply of 70.

The Demand and Supply Schedules for a Hypothetical Canadian Market