imagine that in the market for computer memory chips, the equilibrium price is $50 per chi

imagine that in the market for computer memory chips, the equilibrium price is $50 per chi

Suppose that in the market for computer memory chips, the equilibrium price is $50 per chip. If the current price is $55 per chip, then there will be ______________ of memory chips.

a. A shortage.

b. A surplus.

c. An equilibrium quantity.

d. None of the above.

6. Critically evaluate: “In comparing the two equilibrium positions in Figure 3.7b , I note that a smaller amount is actually demanded at a lower price. This refutes the law of demand.”