Macroeconomics
13th Edition
ISBN: 9780134744452
Author: PARKIN, Michael
Publisher: Pearson,
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Chapter 15, Problem 2SPA
To determine
Identify the quantity of roses the wholesalers buy from Country U and the quantity they import.
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The U.S. Department of Agriculture guarantees dairy producers that they will receive at least $1.00 per pound for butter they supply to
the market. Below is the current monthly demand and supply schedules for wholesale butter (in millions of pounds per month).
Market for Wholesale Butter
Price (dollars
per pound)
$0.80
0.90
1.00
1.10
1.20
1.30
1.40
1.50
1.60
1.70
1.80
Quantity of Quantity of
Butter
Butter
Demanded
Supplied
(nillions of (millions of
pounds)
109
106
103
100
97
94
91
88
85
82
B
79
pounds)
65
73
81
89
97
105
22 million pounds
79 million pounds
113
121
129
137
145
Instructions: Round your answer for price to two decimal places. Enter your answers for quantity as a whole number.
a. What are the equilibrium price and quantity in the wholesale butter market?
P = $
Q=
million pounds
b. What is the monthly surplus created in the wholesale butter market due to the price support (price floor) program?
zero
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Chapter 15 Solutions
Macroeconomics
Ch. 15.1 - Prob. 1RQCh. 15.1 - Prob. 2RQCh. 15.2 - Prob. 1RQCh. 15.2 - Prob. 2RQCh. 15.2 - Prob. 3RQCh. 15.3 - Prob. 1RQCh. 15.3 - Prob. 2RQCh. 15.3 - Prob. 3RQCh. 15.3 - Prob. 4RQCh. 15.3 - Prob. 5RQ
Ch. 15.4 - Prob. 1RQCh. 15.4 - Prob. 2RQCh. 15.4 - Prob. 3RQCh. 15.4 - Prob. 4RQCh. 15.4 - Prob. 5RQCh. 15 - Prob. 1SPACh. 15 - Prob. 2SPACh. 15 - Prob. 3SPACh. 15 - Prob. 4SPACh. 15 - Prob. 5SPACh. 15 - Prob. 6SPACh. 15 - Prob. 7SPACh. 15 - Prob. 8SPACh. 15 - Prob. 9SPACh. 15 - Prob. 10SPACh. 15 - Prob. 11SPACh. 15 - Prob. 12APACh. 15 - Prob. 13APACh. 15 - Prob. 14APACh. 15 - Prob. 15APACh. 15 - Prob. 16APACh. 15 - Prob. 17APACh. 15 - Prob. 18APACh. 15 - Prob. 19APACh. 15 - Prob. 20APACh. 15 - Prob. 21APACh. 15 - Prob. 22APACh. 15 - Prob. 23APACh. 15 - Prob. 24APACh. 15 - Prob. 25APACh. 15 - Prob. 26APACh. 15 - Prob. 27APACh. 15 - Prob. 28APA
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