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Figure 37 Alt Text for Figure 3

question 181

Multiple Choice

Figure 3.7 Alt text for Figure 3.7: In figure 3.7, a graph plotting intersecting supply and demand curves illustrates surplus and shortage in a market, along with an equilibrium.
Long description for Figure 3.7: The x-axis is labelled, Quantity, and is marked from 0 to 8 in increments of 2.The y-axis is labelled, Price, and is marked from 0 to 20 dollars in increments of 5.Curve D is a straight line which slopes down from the top left corner to the bottom right corner.Curve S is a straight line which begins in the bottom left corner and slopes up to the top right corner.The equilibrium of the 2 curves is marked at (4,10) .2 points plotted on the demand curve to the left of the equilibrium are (0,20) and (2,15) .2 points plotted on the demand curve to the right of the equilibrium are (6,5) and (8,0) .2 points plotted on the supply curve to the right of the equilibrium are (6,15) and (8,20) .2 points plotted on the supply curve to the left of the equilibrium are (2,5) and (0,0) .
-Refer to Figure 3.7.At a price of $15,

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Definitions:

Competing

The action of participating in a market with others striving for the same objective, often business or market share.

Enforceable

A term applied to contracts or agreements that are legally binding and can be upheld in court.

Freedom Of Contract

The principle that individuals have the liberty to enter into contracts of their choosing without undue government restriction.

Courts

Institutions vested with the power to adjudicate legal disputes between parties and carry out the administration of justice in civil, criminal, and administrative matters.