Microeconomics (7th Edition)
7th Edition
ISBN: 9780134737508
Author: R. Glenn Hubbard, Anthony Patrick O'Brien
Publisher: PEARSON
expand_more
expand_more
format_list_bulleted
Question
Chapter 4, Problem 4.3.12PA
To determine
The shortage of the goods.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solutionStudents have asked these similar questions
Briefly explain, by means of examples, the difference between a
maximum price and a minimum price.
Briefly describe the concept of demand and supply in economics.
Graphically show how each of the following affects the demand curve. Also explain which factor of demand is being affected in each case:
Salt is a “Neutral Good”. If income increases, how does it affect the demand for salt?
What happens to the demand for Bus Rides when the Metro Rail starts running?
Chapter 4 Solutions
Microeconomics (7th Edition)
Ch. 4.A - Prob. 1RQCh. 4.A - Prob. 2RQCh. 4.A - Prob. 3RQCh. 4.A - Why would economists use the term deadweight loss...Ch. 4.A - Prob. 5PACh. 4.A - Prob. 6PACh. 4.A - Prob. 7PACh. 4.A - Prob. 8PACh. 4.A - Prob. 9PACh. 4 - Prob. 1TC
Ch. 4 - Prob. 2TCCh. 4 - Prob. 4.1.1RQCh. 4 - Prob. 4.1.2RQCh. 4 - Prob. 4.1.3RQCh. 4 - Prob. 4.1.4RQCh. 4 - Prob. 4.1.5PACh. 4 - Prob. 4.1.6PACh. 4 - Prob. 4.1.7PACh. 4 - Prob. 4.1.8PACh. 4 - Prob. 4.1.9PACh. 4 - Prob. 4.1.10PACh. 4 - Prob. 4.1.11PACh. 4 - Prob. 4.1.12PACh. 4 - Prob. 4.1.13PACh. 4 - Prob. 4.1.14PACh. 4 - Prob. 4.2.1RQCh. 4 - Prob. 4.2.2RQCh. 4 - Prob. 4.2.3PACh. 4 - Prob. 4.2.4PACh. 4 - Prob. 4.2.5PACh. 4 - Prob. 4.2.6PACh. 4 - Prob. 4.2.7PACh. 4 - Prob. 4.2.8PACh. 4 - Prob. 4.2.9PACh. 4 - Prob. 4.2.10PACh. 4 - Prob. 4.3.1RQCh. 4 - Prob. 4.3.2RQCh. 4 - Prob. 4.3.3RQCh. 4 - Prob. 4.3.4RQCh. 4 - Prob. 4.3.5PACh. 4 - Prob. 4.3.6PACh. 4 - Prob. 4.3.7PACh. 4 - Prob. 4.3.8PACh. 4 - Prob. 4.3.9PACh. 4 - Prob. 4.3.10PACh. 4 - Prob. 4.3.11PACh. 4 - Prob. 4.3.12PACh. 4 - Prob. 4.3.13PACh. 4 - Prob. 4.3.14PACh. 4 - Prob. 4.3.15PACh. 4 - Prob. 4.3.16PACh. 4 - Prob. 4.3.17PACh. 4 - Prob. 4.3.18PACh. 4 - Prob. 4.3.19PACh. 4 - Prob. 4.4.1RQCh. 4 - Prob. 4.4.2RQCh. 4 - Prob. 4.4.3RQCh. 4 - As explained in the chapter, economic efficiency...Ch. 4 - Prob. 4.4.5PACh. 4 - Prob. 4.4.6PACh. 4 - Prob. 4.4.7PACh. 4 - Prob. 4.4.8PACh. 4 - Prob. 4.4.9PACh. 4 - Prob. 4.4.10PACh. 4 - Prob. 4.2CTE
Knowledge Booster
Similar questions
- Briefly explain and illustrate whether the following statement is true or false: ‘When there is a shortage of a good, consumers eventually give up trying to buy it, so the demand for the good declines, and the price falls until the market is finally in equilibrium’.arrow_forwardSuppose that initially, the gasoline market is in equilibrium. War in the Middle East disrupts imports of oil into the United States shifting the supply curve to S2. The price of gasoline begins to rise, and consumers protest. The government intervenes and sets a price ceiling of $3 per gallon. Use the graph below to answer questions What are the original equilibrium price and quantity? What is the equilibrium price and quantity after the Middle East war begins (S2)? If the price ceiling is imposed, what will occur? A surplus or shortage? Suppose that initially, the gasoline market is in equilibrium. War in the Middle East disrupts imports of oil into the United States shifting the supply curve to S2. The price of gasoline begins to rise, and consumers protest. The government intervenes and sets a price ceiling of $3 per gallon. Use the graph below to answer questions 2a – 2d. How are suppliers affected?arrow_forwardIn a market economy, supply determines demand and demand, in turn, determines prices. demand determines supply and supply, in turn, determines prices. the allocation of scarce resources determines prices and prices, in turn, determine supply and demand. supply and demand determine prices and prices, in turn, allocate the economy’s scarce resources.arrow_forward
- 1. Your econ professor would like to buy a Tesla X, but he cannot afford one. He __________ have a demand for a Tesla X. A. does B. does not 2. Which of the following would not change the supply of a good? A. A change in the price of the good. B. A change in the technology for producing the good. C. A change in the price of a resource required to produce the good. D. A change in the number of firms producing the good. E. A change in the government regulation of firms producing the good.arrow_forwardSuppose that initially, the gasoline market is in equilibrium. War in the Middle East disrupts imports of oil into the United States shifting the supply curve to S2. The price of gasoline begins to rise, and consumers protest. The government intervenes and sets a price ceiling of $3 per gallon. Use the graph below to answer questions What is the original equilibrium price and quantity? What is the equilibrium price and quantity after the Middle East war begins (S2)? If the price ceiling is imposed, what will occur? A surplus or shortage? Are consumers better off with the price ceiling than without it? Explain. How are suppliers affected?arrow_forwardThe following graph shows the annual market for Florida oranges, which are sold in units of 90-pound boxes. (graph in photo) In this market, the equilibrium price is ____ per box, and the equilibrium quantity of oranges is ____ million boxes. For each of the prices listed in the following table, determine the quantity of oranges demanded, the quantity of oranges supplied, and the direction of pressure exerted on prices in the absence of any price controls. Price Quantity Demanded Quantity Supplied Pressure on Prices (Dollars per box) (Millions of boxes) (Millions of boxes) 35 15 True or False: A price ceiling above $25 per box is a binding price ceiling in this market. a. True b. False Because it takes many years before newly planted orange trees bear fruit, the supply curve in the short run is almost vertical. In the long run, farmers can decide whether to plant oranges on their land, to plant something…arrow_forward
- In the market for computers, the number of computer producers increases. At the same time, people’s income increase, and computers are a Normal Good. What would you predict happens to the equilibrium price and quantity in the market for computers? The equilibrium price decreases, and the change in equilibrium quantity is ambiguous The equilibrium price increases, and the change in equilibrium quantity is ambiguous The change in equilibrium price is ambiguous, and the equilibrium quantity decreases The change in equilibrium price is ambiguous, and the equilibrium quantity increasesarrow_forwardListen to thisLinks to an external site. podcast about the market for human organs. https://www.npr.org/2008/05/21/90632108/should-we-legalize-the-market-for-human-organs Initial Response: Is there currently a surplus or shortage of human organs available for transplant? Using the demand/supply framework, explain how legalizing the trade for human organs will help move the market towards an equilibrium. Reply: Add to your original response by answering this question. What other product/market do you think should be legalized (or one that is currently legal and should not be) and why?arrow_forwardThe table above shows the situation in the gasoline market in Tulsa, Oklahoma. If the price of a gallon of gasoline is $2.20, then A. there is a surplus of gasoline in Tulsa. B. there is a shortage of gasoline in Tulsa. C. the gasoline market in Tulsa is in equilibrium. D. Without more information we cannot determine if there is a surplus, a shortage, or an equilibrium in the gasoline market in Tulsa. E. There is neither a surplus nor a shortage, but the market is NOT in equilibrium.arrow_forward
- Suppose that a new production technology in the mining industry enables that every mine worker can extract the double amount of carbon. How does this affect the equilibrium price and quantity in the carbon market? How does this affect the equilibrium price and quantity in the market of crude oil for heating systems? Show graphs for supply and demand in order to illustrate your answer.arrow_forwardThe table below shows information on the demand and supply for scooters, where the quantities of scooters are measured in thousands (so 50 on the graph is equal to 50,000 scooters). Price Qd Qs $120 50 36 $150 40 40 $180 32 48 $210 28 56 $240 24 70 Graph the demand and supply curve for scooters. How can you determine the equilibrium price and quantity from the graph? How can you determine the equilibrium price and quantity from the table? What are the equilibrium price and equilibrium quantity?arrow_forwardWhat is a competitive market? Briefly describe the types of markets other than perfectly competitive markets.arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
- Principles of Economics (12th Edition)EconomicsISBN:9780134078779Author:Karl E. Case, Ray C. Fair, Sharon E. OsterPublisher:PEARSONEngineering Economy (17th Edition)EconomicsISBN:9780134870069Author:William G. Sullivan, Elin M. Wicks, C. Patrick KoellingPublisher:PEARSON
- Principles of Economics (MindTap Course List)EconomicsISBN:9781305585126Author:N. Gregory MankiwPublisher:Cengage LearningManagerial Economics: A Problem Solving ApproachEconomicsISBN:9781337106665Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike ShorPublisher:Cengage LearningManagerial Economics & Business Strategy (Mcgraw-...EconomicsISBN:9781259290619Author:Michael Baye, Jeff PrincePublisher:McGraw-Hill Education
Principles of Economics (12th Edition)
Economics
ISBN:9780134078779
Author:Karl E. Case, Ray C. Fair, Sharon E. Oster
Publisher:PEARSON
Engineering Economy (17th Edition)
Economics
ISBN:9780134870069
Author:William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher:PEARSON
Principles of Economics (MindTap Course List)
Economics
ISBN:9781305585126
Author:N. Gregory Mankiw
Publisher:Cengage Learning
Managerial Economics: A Problem Solving Approach
Economics
ISBN:9781337106665
Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor
Publisher:Cengage Learning
Managerial Economics & Business Strategy (Mcgraw-...
Economics
ISBN:9781259290619
Author:Michael Baye, Jeff Prince
Publisher:McGraw-Hill Education