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Graph Input Tool Market for Calendars I Price (Dollers per calender Suppiled ema

ID: 1140485 • Letter: G

Question

Graph Input Tool Market for Calendars I Price (Dollers per calender Suppiled emanded fCalenders) 0 100 150 200 250 300 D 450 QUANTITY (Calendars The equilibrium price in this market iss50 per calendar, and the equlibrium quantity s 250 calendars bought and sold per month Complete the following table by indicating at each price whether there is a shortage or surplus in the market, ihe amoune of that shortage or surplus and whether this places upward or downward pressure on prices. Shortage or Surplus Amount (Calendars) Price (Dollars per calendar) 60 40 Shortage or Surplus Pressure Grade it Now Save & Continue

Explanation / Answer

Equilibrium price is determined by the intersection of the demand and supply curves.

Equilibrium price is thus 50 and quantity is 250

When supply>demand then there surplus

Surplus amount=S-D

The pressure is downward to restore equilibrium.

When D>S then there is shortage

Shortage amount=D-S

It creates upward pressure on price to restore equilibrium.

Please rate the answer and leave a comment in case of a query.

Price shortage/surplus Amount Pressure 60 surpus 50 Downward 40 shortage 50 Upward