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16. How prices allocate resources Suppose that there are three plots of mountain resort land available for sale in Stowe and six potential buyers, each interested in purchasing one plot. Assume that all of the plots are basically indistinguishable and that the minimum selling price of each is $745,000, The following table lists each potential buyer's willingness and ability to purchase a plot of land. Willingness and Ability to Purchase Person (Dollars) Eric $00,000 'Ginny 10,000 Kenji 770,000 Lucia 720,000 Paolo 690,000 Sharon 680,000 Which of these people will purchase one of the three mountain resort plots? Check al! that aoply. | Eric CL Ginny Kenji Lucia ie | Paolo _] Sharon Now, assume that the three mountain plots have been sold to the people that you indicated in the previous section. Suppose that a few weeks after the last of those mountain plots is sold, another basically identical mountain plot goes on the market for sale st 2 minimum price of 732,500. This fourth plot Ww be sold, because w_ will purchase it from the seller for at least the minimum price