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The Demand for a Textbook Written by Schwarz and Mobley

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The demand for a textbook written by Schwarz and Mobley is Q = 20,000 − 50P; supply is Q = 2,000 + 100P. Students complain about the high price of textbooks, so a price ceiling is imposed, which unfortunately leads to a shortage of texts. Below what price will shortages occur?

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A shortage will occur if the price ceili...

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