Supply and Demand Curves

1) What is unique about an equilibrium price?

The unique thing about equilibrium is that it automatically adjusts to make the quantity supply and the quantity demand equal.

2) What situation can lead to excess demand?

When the quantity demanded is more than the quantity supplied.

3) How is a price floor different than a price ceiling?
The price floor is the minimum price and the price ceiling is the maximum price set by the government.

4) What are the benefits and drawbacks of rent control?
The benefits of rent control is the it helps some households y cutting their housing cost and the drawback of rent control is that it takes from other households even poor ones.

5) Explain how the equillibrium price and quantity sold of eggs will change in the following cases:

a) An outbreak of food poisoning is linked to eggs.

Then the quantity of the eggs sold would go down and so would the equilibrium price.

b) Scientists breed a new kind of chicken that lays twice the amount of eggs in a week

Both the equilibrium price and the quantity eggs sold would increase.
c) UFC heavyweight champ Brock Lesnar endorses eggs as a great source of protein and attributes his success to eating lots of eggs.

The equilibrium price would be normal but the quantity sold would increase.

Supply Curve

1)The difference between supply and quantity supplied is when there is a change in the price the quantity supplied but the entire curve stays the same which is the supply.
2) The difference betwen 'Supply Curve' and 'Market Supply Curve' is supply curve horizonally obtains to the market supply demand and the market damand curve shows the total quantity supplied varied as the price of the good varies.
3) Three ways a supply can increase is if the customers income rises, if the supply becomes very popular, or if there is nothing else like the product.