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Table 3.1 Price per Constant-Quality Unit Quantity Demanded of Constant-Quality

ID: 1180915 • Letter: T

Question

Table 3.1 Price per
Constant-Quality Unit Quantity Demanded of Constant-Quality Units per Year Quantity Supplied of Constant-Quality Units per Year $ 1.00 1,000 200 $ 2.00 800 400 $ 3.00 600 600 $ 4.00 400 800 $ 5.00 200 1000
In looking at Table 3.1, what happens as the price rises further above the equilibrium price?
The size of the surplus grows larger.
The quantity supplied grows smaller.
The size of the shortage grows larger.
The quantity demanded grows larger.
Table 3.1 Price per
Constant-Quality Unit Quantity Demanded of Constant-Quality Units per Year Quantity Supplied of Constant-Quality Units per Year $ 1.00 1,000 200 $ 2.00 800 400 $ 3.00 600 600 $ 4.00 400 800 $ 5.00 200 1000

Explanation / Answer

The size of the surplus grows larger.