Table: Supply and Demand Price Quantity Demanded Quantity Supplied $10 2,000 1,200 $12 1,900 1,300 $14 1,800 1,400 $16 1,700 1,500 $18 1,600 1,600 $20 1,500 1,700 If the price in the free market were $12, then a:
a. shortage of 200 units would exist, and the price would rise.
b. shortage of 600 units would exist, and the price would rise.
c. surplus of 400 units would exist, and the price would fall.
d. surplus of 200 units would exist, and the price would fall.