Macroeconomics
11th Edition
ISBN: 9781260506891
Author: Colander
Publisher: MCG
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Question
Chapter 4, Problem 9QE
(a)
To determine
Determination of market
(b)
To determine
Explain the
(c)
To determine
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Students have asked these similar questions
THIS IS JUST THE WHOLE HOMEWORK BUT I CAN'T FIGURE OUT THE LAST QUESTION OF THE 75 A DAY?
Why does the demand curve slope downward? Why does the supply curve slope upward? Given the demand and supply schedules below:
Price (dollars per CD)
Quantity Demanded (per day)
Quantity Supplied (per day)
5.00
300
100
6.00
250
150
7.00
200
200
8.00
150
250
9.00
100
300
What is the market equilibrium?
If the price of CD is $6.00, describe the situation in the CD market. Explain how market equilibrium is restored.
A rise in incomes increases the quantity of CDs demanded by 100 a day at each price. What is the new equilibrium and how does the market adjust?
A rise in the number of recording studios increases the quantity of CDs supplied by 75 a day at each price. People download more music from the Internet and the quantity demanded of CDs decreases by 25 a day at each price. With no change in incomes, what is the new equilibrium and…
Why does the demand curve slope downward? Why does the supply curve slope upward? Given the demand and supply schedules below:
Price (dollars per CD)
Quantity Demanded (per day)
Quantity Supplied (per day)
5.00
300
100
6.00
250
150
7.00
200
200
8.00
150
250
9.00
100
300
What is the market equilibrium?
If the price of CD is $6.00, describe the situation in the CD market. Explain how market equilibrium is restored.
A rise in incomes increases the quantity of CDs demanded by 100 a day at each price. What is the new equilibrium and how does the market adjust?
A rise in the number of recording studios increases the quantity of CDs supplied by 75 a day at each price. People download more music from the Internet and the quantity demanded of CDs decreases by 25 a day at each price. With no change in incomes, what is the new equilibrium and how does the market adjust?
Price per bushel
Quantity Demanded
(bushels)
Quantity Supplied (bushels)
US$2
40,000
0
4
36,000
4,000
6
30,000
8,000
8
24,000
16,000
10
20,000
20,000
12
18,000
28,000
14
12,000
36,000
16
6,000
40,000
Suppose the market price is US$14 per bushel. Is there a shortage or a surplus in the market?
What is the quantity of the shortage or surplus?
If the market price is US$14 per bushel, what must happen to restore equilibrium in the market?
Chapter 4 Solutions
Macroeconomics
Ch. 4.1 - Prob. 1QCh. 4.1 - Prob. 2QCh. 4.1 - Prob. 3QCh. 4.1 - Prob. 4QCh. 4.1 - Prob. 5QCh. 4.1 - Prob. 6QCh. 4.1 - Prob. 7QCh. 4.1 - Prob. 8QCh. 4.1 - Prob. 9QCh. 4.1 - Prob. 10Q
Ch. 4 - Prob. 1QECh. 4 - Prob. 2QECh. 4 - Prob. 3QECh. 4 - Prob. 4QECh. 4 - Prob. 5QECh. 4 - Prob. 6QECh. 4 - Prob. 7QECh. 4 - Prob. 8QECh. 4 - Prob. 9QECh. 4 - Prob. 10QECh. 4 - Prob. 11QECh. 4 - Prob. 12QECh. 4 - Prob. 13QECh. 4 - Prob. 14QECh. 4 - Prob. 15QECh. 4 - Prob. 16QECh. 4 - Prob. 17QECh. 4 - Prob. 18QECh. 4 - Prob. 19QECh. 4 - Prob. 20QECh. 4 - Prob. 21QECh. 4 - Prob. 22QECh. 4 - Prob. 23QECh. 4 - Prob. 24QECh. 4 - Prob. 1QAPCh. 4 - Prob. 2QAPCh. 4 - Prob. 3QAPCh. 4 - Prob. 4QAPCh. 4 - Prob. 5QAPCh. 4 - Prob. 6QAPCh. 4 - Prob. 1IPCh. 4 - Prob. 2IPCh. 4 - Prob. 3IPCh. 4 - Prob. 4IPCh. 4 - Prob. 5IP
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Similar questions
- Price per Bushel Quantity Demanded (bushels) Quantity Supplied (bushels) $3 36,000 0 6 30,000 3,000 9 24,000 6,000 12 19,000 10,000 15 15,000 15,000 18 10,000 21,000 21 7,000 28,000 24 4,000 36,000 Suppose the market price is $21 per bushel. Is there a shortage or a surplus in the market? What is the quantity of the shortage or surplus? How many bushels will be sold if the market price is $21 per bushel?arrow_forwardRefer to the following supply and demand schedules for the market for yo-yos. Price Qd Qs $1 100 10 $2 80 35 $3 60 60 $4 40 85 $5 20 110 If the price in the market is $5, will there be a surplus or shortage of yo-yos and how large will the surplus/shortage be? Show your work. If price is $5, will it tend to increase, decrease, or stay the same over time?arrow_forwardPlease use the following supply and demand schedules to answer the questions below: Price Quantity Demanded Quantity Supplied $0 4 0 $10 3 1 $20 2 2 $30 1 3 $40 0 4 a. At what prices will we see a shortage? b. At what prices will we see a surplus? c. What is the equilibrium price and quantity for this market?arrow_forward
- Use the table below to answer the questions: Price Quantity Supplied Quantity Demanded $5 25 150 $10 50 100 $15 75 75 $20 100 50 $25 115 25 $30 130 10 Find the equilibrium price and quantity. Assume a $20 price floor is imposed in this market. Find the quantity demanded. Find the quantity supplied. Will this be a surplus or shortage? How big will the surplus or shortage be? How many units will be sold in the market? Will this price floor increase, decrease, or have no effect on consumer surplus? Will this price floor increase, decrease, or have no effect on total surplus? Will this price floor increase, decrease, or have no effect on deadweight loss?arrow_forwardA market consists of groups of buyers and sellers of a good or service. Market equilibrium represents the price at which the quantity of goods supplied is balanced with the number of goods consumers are willing and able to buy. Consider the market for coffee: Assume first that there is a heatwave that damages a large portion of coffee beans. Describe how this would affect equilibrium in the market for coffee. Specifically, does demand or supply shift, in which direction, and what is the effect on equilibrium price and quantity?arrow_forwardI can seem to figure out the last two questions I bolded: Why does the demand curve slope downward? Why does the supply curve slope upward? Given the demand and supply schedules below: Price (dollars per CD) Quantity Demanded (per day) Quantity Supplied (per day) 5.00 300 100 6.00 250 150 7.00 200 200 8.00 150 250 9.00 100 300 What is the market equilibrium? If the price of CD is $6.00, describe the situation in the CD market. Explain how market equilibrium is restored. A rise in incomes increases the quantity of CDs demanded by 100 a day at each price. What is the new equilibrium and how does the market adjust? A rise in the number of recording studios increases the quantity of CDs supplied by 75 a day at each price. People download more music from the Internet and the quantity demanded of CDs decreases by 25 a day at each price. With no change in incomes, what is the new equilibrium and how does the market adjust?arrow_forward
- Create at least one graph that shows the demand curve, the supply curve, shifts in demand and/or supply curve, changes in equilibrium quantity and equilibrium price, price ceilings and/or price floors. You don’t need to look for any statistical data regarding quantities or prices for the product.arrow_forwardApplications of Demand and Supply Consider the graph below representing the market for soybeans. Question: Suppose the government imposes a $6 price floor in this market and decides to buy the excess supply of soybeans.. What is the quantity of soybeans demanded? The quantity supplied? What is the cost of this policy to the government?arrow_forward
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