The demand and supply schedules for lawn mowing are given below:
\begin{tabular}{lll}
Price & Quantity demanded & Quantity Supplied \
\hline$\$ 20$ & 0 & 12 \
$\$ 18$ & 2 & 10 \
$\$ 16$ & 2 & 8 \
$\$ 14$ & 3 & 6 \
$\$ 12$ & 4 & 4 \
$\$ 10$ & 5 & 2 \
$\$ 8$ & 6 & 0
\end{tabular}

Which of the following would cause a surplus in this market?
Choose 1 answer:
(A) Any price below $\$ 12$
(B) A price of $\$ 12$
(C) Any price above $\$ 12$

Question

The demand and supply schedules for lawn mowing are given below:
\begin{tabular}{lll} 
Price & Quantity demanded & Quantity Supplied \
\hline$\$ 20$ & 0 & 12 \
$\$ 18$ & 2 & 10 \
$\$ 16$ & 2 & 8 \
$\$ 14$ & 3 & 6 \
$\$ 12$ & 4 & 4 \
$\$ 10$ & 5 & 2 \
$\$ 8$ & 6 & 0
\end{tabular}

Which of the following would cause a surplus in this market?
Choose 1 answer:
(A) Any price below $\$ 12$
(B) A price of $\$ 12$
(C) Any price above $\$ 12$

Accepted Answer

∻Solution∻ ‖ a ⋮ Surplus Definition: A surplus occurs when the quantity supplied exceeds the quantity demanded at a given price. ‖ ‖ b ⋮ Surplus Identification: From the table, at any price above $12, the quantity supplied is greater than the quantity demanded. For example, at $20, the quantity supplied is 12, and the quantity demanded is 0. ‖ ∻Answer∻ ⚹ Any price above $12 ⚹ ∻Key Concept∻ ⚹ Surplus occurs when quantity supplied exceeds quantity demanded. ⚹ ∻Explanation∻ ⚹ In the given table, at prices above $12, the quantity supplied is greater than the quantity demanded, leading to a surplus. ⚹◊What is the equilibrium price and quantity in this market based on the given demand and supply schedules⍭ Generate me a similar question◊

Sia