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100 99 98 97 96 95 94 93 92 91 90. - - - - - - - - - - -. - - - - - - - - - - - -. Price of Apartments ($1000s). Quantity of Apartments. Supply. At a price of $96,000…. …6 apartments are offered for sale.

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  1. 100 99 98 97 96 959493929190 - - - - - ------ - - - - - ------- Price of Apartments ($1000s) Quantity of Apartments Supply At a price of $96,000… …6 apartments are offered for sale 0 1 2 3 4 5 6 7 8 9 10 11 12

  2. 100 99 98 97 96 959493929190 - - - - - ------ - - - - - ------- Price of Apartments ($1000s) Quantity of Apartments S1 S2 At a price of $96,000… …8 apartments are offered for sale 0 1 2 3 4 5 6 7 8 9 10 11 12

  3. S2 Price S1 Quantity

  4. 100 99 98 97 96 959493929190 - - - - - ------ - - - - - ------- Price of Apartments ($1000s) Quantity of Apartments At a price of $96,000… …4 apartments are desired by buyers Demand 0 1 2 3 4 5 6 7 8 9 10 11 12

  5. 100 99 98 97 96 959493929190 - - - - - ------ - - - - - ------- Price of Apartments ($1000s) Quantity of Apartments At a price of $96,000… D2 …8 apartments are desired by buyers D1 0 1 2 3 4 5 6 7 8 9 10 11 12

  6. Price D1 D2 Quantity

  7. 100 99 98 97 96 959493929190 - - - - - ------ - - - - - ------- Price of Apartments ($1000s) Quantity of Apartments Surplus S E D Shortage 0 1 2 3 4 5 6 7 8 9 10 11 12

  8. S1 100 99 98 97 96 959493929190 - - - - - ------ S2 - - - - - ------- Surplus E1 Price of Apartments ($1000s) E2 D 0 1 2 3 4 5 6 7 8 9 10 11 12 Quantity of Apartments

  9. 100 99 98 97 96 959493929190 - - - - - ------ - - - - - ------- Price of Apartments ($1000s) Quantity of Apartments S E2 E1 Shortage D2 D1 0 1 2 3 4 5 6 7 8 9 10 11 12

  10. S2 Price S1 D Quantity

  11. S2 Price S1 D Quantity

  12. Nasdaq Composite Stock Index • 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 Year

  13. S2 Price S1 P2 P1 D Q2 Q1 Quantity

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