Eonomics

Q1Suppose the minimum price is now set at $16 per pack.What is the quantity transacted each month?Explain.
Qt = 8 units. Even consumers wish to buy 12 units of good at the price $16, they can only buy 8 for there is just 8 units of good supplied. Therefore, quantity transacted equal to 8 units.

Q2Suppose the minimum price is set at $22 per pack.What is the quantity transacted each month at this minimum price?
Ot = 6 units. Even producer wish to sell 15 units of good at the price $22, they can only sell 6 for the market demand only 6 units of good at this price. Therefore, quantity transacted equal to 6 units.

Q3Name the encomic problem at this minimum price.
when quantity supplied>quantity demanded, there is excessed supply / surplus.

Q1 : the quantity transacted each month is 10 . it is because it is not an effective price floor .
Q2 : the quantity transacted each month is 6 . It is because it is an effective price floor .
Q3 : 這是 供過於求 (唔知英文係咩 . surplus？)