8. Suppose the supply and demand schedules for cell phones are as follows: Price Demand Supply $2 10 0 $3 9 0 $4 8 0 $5 7 1 $6 6 2 $7 5 3 $8 4 4 $9 3 5 $10 2 6 $11 1 7 $12 0 8

a. Make a sketch of supply and demand.

b. Find the equilibrium price and quantity in the cell phone market.

c. Suppose the government sets a maximum price (a price ceiling) of $6. How many cell phones are traded? Add the price ceiling to your sketch.

d. Suppose the government instead sets a minimum price (a price floor) of $10. How many cell phones are traded? Add the price floor to your sketch.