Suppose That the Market for Corn Is Initially in Equilibrium $P = 10 - Q ^ { d }$

question 17

Multiple Choice

Suppose that the market for corn is initially in equilibrium and is perfectly competitive. The demand curve can be expressed as $P = 10 - Q ^ { d }$ ; the supply curve can be expressed as $P = 0.25 Q ^ { s }$ . Quantity is expressed in millions of bushels. Now suppose that the federal government imposes a price floor of $3 per bushel of corn. Which of the following best describes the market after the price floor is imposed?

• A) There will be a shortage of 5 million bushels.
• B) There will be a surplus of 5 million bushels.
• C) There will be a surplus of 7 million bushels.
• D) There will be a surplus of 12 million bushels.

---

Definitions:

Bone Remodeling

The continuous process where old bone is replaced by new bone tissue, maintaining the integrity and strength of the skeleton.

Adjust to Stress

The process by which organisms attempt to maintain homeostasis and respond to physical or psychological challenges through behavioral or physiological changes.

Fractures Heal

The natural process of bone repair after a break or crack, typically involving the formation of a blood clot followed by the growth of new bone tissue.

Osteoclast Activity

The process involving osteoclast cells breaking down bone tissue, releasing calcium and phosphate into the blood.