-Refer to Exhibit 5-5.If the airline charges price P₂ for both aisle seats and middle seats,the result will be A) a surplus of middle seats and the equilibrium quantity of aisle seats. B) a surplus of aisle seats and the equilibrium quantity of middle seats. C) a shortage of middle seats and the equilibrium quantity of aisle seats. D) a shortage of aisle seats and the equilibrium quantity of middle seats.

Question

Quizplus · Accepted Answer

At price P₂, demand for middle seats would be less than supply, leading to a surplus of middle seats. For aisle seats, this price would match the equilibrium price, where supply equals demand, resulting in the equilibrium quantity of aisle seats.