Table 3.2 depicts the market for magnets in the country of Skyland.
Table 3.2
a)What is the present equilibrium price and quantity traded in this market?
b)How much in total are buyers paying for the magnets?
c)Suppose that the government introduces a price ceiling of $5 per unit.What quantity will buyers be purchasing? How much in total will magnet buyers now be paying?
d)What will be the total amount of shortage?
e)Suppose after the imposition of the price ceiling,the demand in Skyland decreases by 40,000 units.What is the new equilibrium price and quantity traded?

Question

Table 3.2 depicts the market for magnets in the country of Skyland.
Table 3.2
  a)What is the present equilibrium price and quantity traded in this market?
b)How much in total are buyers paying for the magnets?
c)Suppose that the government introduces a price ceiling of $5 per unit.What quantity will buyers be purchasing? How much in total will magnet buyers now be paying?
d)What will be the total amount of shortage?
e)Suppose after the imposition of the price ceiling,the demand in Skyland decreases by 40,000 units.What is the new equilibrium price and quantity traded?

Quizplus · Accepted Answer

The Answer of Table 3.2 depicts the market for magnets in the country of Skyland.
Table 3.2
  a)What is the present equilibrium price and quantity traded in this market?
b)How much in total are buyers paying for the magnets?
c)Suppose that the government introduces a price ceiling of $5 per unit.What quantity will buyers be purchasing? How much in total will magnet buyers now be paying?
d)What will be the total amount of shortage?
e)Suppose after the imposition of the price ceiling,the demand in Skyland decreases by 40,000 units.What is the new equilibrium price and quantity traded?

Table 32 Depicts the Market for Magnets in the Country of of Skyland