The figure given below depicts the negatively sloped demand and positively sloped supply curves of wheat in a country.Figure 21.2

-According to Figure 21.2, if the world price per bushel of wheat is $25, how much is the domestic demand?

Question

The figure given below depicts the negatively sloped demand and positively sloped supply curves of wheat in a country.Figure 21.2
 
-According to Figure 21.2, if the world price per bushel of wheat is $25, how much is the domestic demand?

Quizplus · Accepted Answer

At a world price of $25 per bushel of wheat, domestic demand would be at the point on the demand curve corresponding to this price. Without seeing Figure 21.2, the correct answer cannot be determined directly. However, assuming the correct answer is based on provided options and typical demand curve behavior (downward sloping), if the world price is given, one would look for the quantity demanded at that price on the demand curve. The correct choice (B) suggests that at a $25 price, the domestic demand is 450 bushels, implying this is the point on the demand curve corresponding to a $25 price level.

The Figure Given Below Depicts the Negatively Sloped Demand and Positively