In this exercise we have to use economics and graphics knowledge to identify each of the lines, like this:
- Price floor
- Equiulibrium price
- Excess supply
Looking at the graph, we will find that:
- The line at PF represents the Price floor, that is imposed price control or limit on how low a price can be charged for a product.
- The line at PE represents the Equiulibrium price, that is balanced and in the absence of external influences the values of economic variables.
- The line between points a and b represents Excess supply, that is riefly surply is a situation in which the quantity of a good.
See more about economic at brainly.com/question/1232441
