Table 4-10
The following table shows the number of cases of water each seller is willing to sell at the prices listed.

-Refer to Table 4-10. If the four suppliers listed are the only suppliers in this market and the market demand schedule is: the equilibrium price and quantity are

Question

Table 4-10
The following table shows the number of cases of water each seller is willing to sell at the prices listed.
 
-Refer to Table 4-10. If the four suppliers listed are the only suppliers in this market and the market demand schedule is:  the equilibrium price and quantity are

Quizplus · Accepted Answer

At a price of $6.00, the total quantity demanded is 600 cases, which is exactly equal to the total quantity supplied by the four suppliers in the market. This is the equilibrium price and quantity. Any lower price would result in excess demand, and any higher price would result in excess supply. Therefore, the answer is C, $6.00 and 600 cases.

Table 4-10 The Following Table Shows the Number of Cases of Water