The market price of a good
Answers are for parents and teachers.
1
Table: price 3 – demand 60, supply 10; price 4 – 40 and 30; price 5 – 20 and 50 (thousand so‘m, units). Is there an equilibrium? What happens at 3 000 so‘m?
There is no exactly equal row (40 and 30 at 4 000 so‘m). At 3 000 so‘m there is a shortage: 60 – 10 = 50.
2
How large is the surplus at 5 000 so‘m in the table? (supply 50, demand 20)
30
3
At 4 000 so‘m demand is 40 and supply 30. How big is the shortage?
10
4
If the state fixes the price of a needed good very low, what problems can appear? Write two.
For example: goods run short (shortage); sellers produce less; a black market may appear.