Equilibrium Assignment

1. Look at the demand and supply schedules for wombles in the table below. Use a
graphing tool and insert your graph on page 3. You can use tools in word, excel, or
web bases ones like ChartGo. You can draw on paper and scan.

Demand and Supply Schedule

Price Quantity Quantity Price New New

Demanded Supplied Quantity Quantity
Demanded Supplied

20 40
$5.00 10 50 $5.00
30 30
4.00 20 40 4.00
40
3.00 30 30 3.00 20

2.00 40 20 2.00 50 10

60 0
1.00 50 10 1.00

a. Now demand increases by 10 units at each price and supply decreases by10
wombles at each price. Enter the new numbers for quantity demanded and
quantity supplied in the last two columns in the table above.
b. What was the old equilibrium price? $3
c. What will be the new equilibrium price? $4
d. What was the old equilibrium quantity? 30
e. What is the new equilibrium quantity? 30

2. The demand and supply schedules for widgets are those given in the table below.
Create a graph for this schedule on p 3 and answer the questions below the table.
 Price Quantity Demanded Quantity Supplied

$10 12,000 18,000

9 13,000 17,000

8 14,000 16,000

7 15,000 15,000

6 16,000 14,000

5 17,000 13,000

4 18,000 12,000
$7
a. The equilibrium price for widgets is ___________?
15,000
b. The equilibrium quantity for widgets is____________?

c. If a seller establishes a pre‐set price of $5 on this product, there would be a

decrease of quantity 5,000
______.

d. If a seller establishes a pre‐ set price of $8 on this product, there would be an

increase of quantity 2,000 ____.
3. Insert your graphs below.

17,000 18,000
12,000 14,000 15,00016,000
13,000