USF issues parking permits to allow students to park on campus. The price of the permit is set by college administrators at their discretion, they do not consider market conditions. At the current price, some students complain that there aren't enough spaces for them to park.

• Describe this situation in economic terms and describe what this implies about the market equilibrium and the price of a parking permit.
• Should the price of a parking permit be raised or lowered to fix this problem? Why? Explain.
• Use the supply and demand model to describe how a graph of the market for parking permits would be affected by a change in price. You must include a graphandreference/describe the graph in your essay.

Here's my microeconomic question. It's about the supply and demand problem. Specifically, it's about the spaces in a university parking permit.

In this situation what this implies about the market equilibrium and the price of the parking prices?

Also, because of that, should we raise or lower the price? I somehow got the idea but lacking reasons to support my point so I kinda want to refer from you guys.

And if you could help