Fundamentals of Transportation/Economics/Problem

Problem:

A poll is taken in regards to a sports car. Of the 1000 people in the class, the polling results came back for the two series of questions:

Question 1:

• How many people would buy a brand new sports car for $500,000: 10 people
• How many people would buy a brand new sports car for $50,000: 95 people
• How many people would buy a brand new sports car for $5,000: 812 people
• How many people would buy a brand new sports car for $500: 995 people
• How many people would buy a brand new sports car for $50: 999 people
• How many people would buy a brand new sports car for $5: 1000 people

Question 2:

• How many people would sell their brand new sports car for $500,000: 995 people
• How many people would sell their brand new sports car for $50,000: 500 people
• How many people would sell their brand new sports car for $5,000: 90 people
• How many people would sell their brand new sports car for $500: 3 people
• How many people would sell their brand new sports car for $50: 1 person
• How many people would sell their brand new sports car for $5: 0 people

What would be the appropriate balance of price and people interested?

• (Solution)