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The graph in the image represents the supply and demand curves for a textbook, with price (P) on the vertical axis and quantity (Q) on the horizontal axis. The question asks for the trade level (quantity traded) when a price ceiling of $60 is imposed on the textbook market.

### Step-by-Step Breakdown:

1. **Price Ceiling Definition**: A price ceiling is a legal maximum price that can be charged for a good. If it's set below the equilibrium price, it typically leads to shortages because the quantity demanded exceeds the quantity supplied.

2. **Equilibrium Price and Quantity**: From the graph, we can see the equilibrium price is around $120, where the supply and demand curves intersect. At this price, the equilibrium quantity traded is approximately 3,000,000 textbooks.

3. **Price Ceiling at $60**: The price ceiling is set at $60, which is below the equilibrium price of $120.
   - At this price, the quantity demanded (where $60 intersects the demand curve) is about 3,400,000.
   - The quantity supplied (where $60 intersects the supply curve) is about 2,600,000.

4. **Trade Level**: In the presence of a price ceiling, the quantity traded is limited by the lower of the quantity supplied or demanded. Since suppliers will only provide 2,600,000 textbooks at a price of $60, that will be the trade level, as demand will exceed supply.

### Answer: The trade level will be **2,600,000 textbooks**.

Would you like more details on how price ceilings affect markets? Here are five questions to expand your understanding:

1. What happens to consumer surplus when a price ceiling is imposed?
2. How does a price ceiling below the equilibrium price lead to shortages?
3. What are the potential long-term effects of sustained price ceilings on a market?
4. How do price ceilings impact black markets or secondary markets?
5. How would suppliers respond to a long-term price ceiling?

**Tip**: In economics, price ceilings are often analyzed alongside price floors to understand the full range of government interventions in markets.

If there is a $60 price ceiling imposed on a textbook, what will the trade level be?

Explore the effect of a $60 price ceiling on the trade level of textbooks in a supply and demand market. The analysis reveals a trade level of 2,600,000 units when demand exceeds supply at this ceiling price. Suitable for college economics students.

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