1. The demand and supply for hospital care in the Garden State is given in the following diagram. Currently,the state legislature has mandated that all hospital care must be free and that providers will be reimbursed at a rate of $450 per day.The Hospital Association has expressed its concern that at this reimbursement rate there will not be enough hospital care to "go around" and meet all the demands. It is proposed that the reimbursement rate be increased to $600 a day. What is the quantity demanded and supplied and the quantity utilized at the two rates? What is the total amount funded at the two rates?