Suppose that the Gondwanaland Chairman of Production, who sets the governmental price floor for gosum berries, in an effort to assist the gosum berry producers to have a higher income, set the price floor at $70 per barrel. In that particular year, the amount of gosum berries produced at the $70 price floor was 700 barrels per month. To support the price of gosum berries, the Chairman of Production's Office had to purchase 400 barrels per month. The accompanying chart and diagram shows supply and demand curves illustrating the market for Gondwanaland gosum berries.

Price Quantity Supplied Quantity Demanded

$120 1,200

$110 1,100

$100 1,000 0

$90 900 100

$80 800 200

$70 700 300

$60 600 400

$50 500 500

$40 400 600

$30 300 700

$20 200 800

$10 100 900

$0 0 1,000

The accompanying diagram shows supply and demand curves illustrating the market for Gondwanaland gosum berries. Utilizing this information, answer the following questions.