1. (a) How many units q are demanded when the price p is $200?

(b) How many units q are supplied when the price p is $200?

(c) Will there be a market surplus or shortage when the price p is $200?

The graphs of the demand function and supply function for a certain product, are given below. Use these graphs to answer the questions in Problems.

2. If the demand for a pair of shoes is given by 2p + 5q = 200 and the supply function for it is p - 2q = 10, compare the quantity demanded and the quantity supplied when the price is $60. Will there be a surplus or shortfall at this price?

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600 600- 400 400- Demand Supply 200 200- 200 400 600 S00 200 400 600 300