Excess Supply/Demand Assignment | Homework For You
Assume a demand equation P=110-Q and a supply equation of P=10+Q.
If a price control of $40 was to be imposed, would it be a price floor or a ceiling? Is there an excess supply or an excess demand at this price? What is the amount of this excess supply/demand? Find the actual quantity exchanged in the market at this price, calculate the total expenditure incurred by the consumer and illustrate on a graph. Get Economics homework help today