The supply of seats for a psychology class at 10 a. m. is the same as the supply of seats for the same class at 2pm lo5 mo1 there is a surplus of seats for the class at 2 p. m. and there is a shortage of seats in the 10 a. m. class. if tuition does not vary by time of day, it follows that the demand for the 10 a. m. class is the demand for the 2 p. m. class, ceteris paribus.

The demand for 10 a.m. class is higher than the demand for the 2 p.m. class.

Explanation:

The supply of seats for the psychology class at 10 a.m is the same as the class at 2 a.m. But there is a surplus of seats at 2 a.m class and shortage of seats at 2 p.m class.  

Other things being constant this implies that more students are attending the 10 a.m class than the 2 p.m. class. This shows that the demand for the 10 a.m class is comparatively higher than the demand for the 2 p.m. class.  

This causes a surplus of seats at 2 p.m and shortage of seats at 10 a.m.

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answer; someone must cover the cost associated with the provision of scarce goods in both sectors;