Suppose that in a recent market period, the following relationship existed between the price of Bluray discs and the quantity supplied and quantity demanded.

Graph the supply and demand curves for Bluray discs using the information in the table. What are the equilibrium price and quantity? If the industry price is $20, is there a shortage or surplus of Bluray discs? How much is the shortage or surplus?

Transcribed Image Text:

Price Quantity Demanded Quantity Supplied $19 $20 $21 $22 $23 100 million 90 million 80 million 70 million 60 million 40 million 60 million 80 million 100 million 120 million