The following supply and demand schedules describe a hypothetical Canadian market for potash.

a. What is the equilibrium price of potash?

b. How much potash would actually be purchased if the price was \(\$ 280 \) per tonne?

c. How much potash would actually be sold if the price was \(\$ 360 \) per tonne?

d. At a price of \(\$ 280 \) per tonne, is there excess supply or demand? How much?

e. At a price of \(\$ 360 \) per tonne, is there excess supply or demand? How much?

f. If the price is \(\$ 280 \) per tonne, describe the forces that will cause the price to change.

g. If the price is \(\$ 360 \) per tonne, describe the forces that will cause the price to change.

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Price ($ per tonne) Quantity Supplied (million tonnes) Quantity Demanded (million tonnes) 280 8.5 12.5 300 9.0 11.0 320 9.5 9.5 340 10.0 8.0 360 10.5 6.5 380 11.0 5.0