Consider the following information regarding the quantity of
corn demanded and supplied per month at a number of prices.
Price per bushel
quantity demand
quantity supplied
$.40
39,000
83,000
$.35
48,000
78,000
$.30
58,000
74,000
$.25
67,000
67,000
$.20
75,000
62,000
$.15
81,000
59,000
What is the equilibrium price? What is the equilibrium
quantity?
Describe the situation when the price is at $.40 per bushel and
predict what will happen.
Describe the situation when price is at $.15 per bushel...