1
The demand and supply schedules for sunscreen at a small beach
are shown below.
1
Market for Sunscreen
points
Quantity of Quantity of
Price
Sunscreen
Sunscreen
(dollars per Demanded
Supplied
bottle)
(bottles)
(bottles)
$60
1,250
9,750
eBook
55
2,250
8,250
50
2,750
6,750
45
3,250
5,250
Ask
40
3,750
3,750
35
4,250
2,250
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Instructions: Enter your answers as a whole number.
References
a. If the price is $50 per bottle, how many bottles of sunscreen
are demanded and supplied in equilibrium?
Qd= 2750 bottles
Qs= 6750 bottles
In this case, there would be downward pressure on the
price.
b. What is the equilibrium price and quantity in the market for
sunscreen?
P=$
Q= bottles