-Refer to Figure 9 -8. What is the amount of excess capacity? A) Q_h-Q_gunits B) Q_h-Q_funits C) Q_j-Q_hunits D) Q_j-Q_funits

Question

Quizplus · Accepted Answer

Excess capacity refers to the difference between the quantity supplied at the price floor and the quantity demanded at that price. Without seeing Figure 9-8, the correct answer cannot be determined based on the provided options, as they are formatted in a nonsensical manner. However, the concept of excess capacity typically involves calculating the difference between quantities, which is what option D suggests by indicating a subtraction between two quantities.