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Five Hundred Units of Good X Are Currently Bought and Sold.The

Question 12

Multiple Choice

Five hundred units of good x are currently bought and sold.The marginal buyer is willing to pay $40 for the 500th unit,and the cost to the marginal seller is $35 for the 500th unit.We know that


A) the equilibrium price of good x is somewhere between $35 and $40.
B) the equilibrium quantity of good x exceeds 500 units.
C) 500 units is not an efficient quantity of good x.
D) All of the above are correct.

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