Question

complete the first row of the following table by indicating the equilibrium price and the equilibrium quantity of flying disks in the absence of any price controls?

Answer 1

The equilibrium price of flying disks without price controls is $10 and the equilibrium quantity is five, as determined by matching the columns for quantity demanded and quantity supplied while ignoring externality costs.

Step-by-step explanation:

To complete the first row of the given table and indicate the equilibrium price and the equilibrium quantity of flying disks in the absence of any price controls, refer to the provided instructions of matching the quantity demanded to the quantity supplied without taking externalities into account.

Based on the reference information, identify the row where the quantity demanded equals the quantity supplied without considering external costs (externalities). The equilibrium conditions are met when these two quantities are equal. In this particular case, the equilibrium price is $10 and the equilibrium quantity is five flying disks, representing a scenario where only private costs are accounted for.