Question

If the demand function for a commodity is given by p(q + 4) = 400 and the supply function is given by 2p – q – 38 = 0, find the market equilibrium.

Answer #1

The demand function for a
commodity is given by the equation p2 +
8q = 1100.
The
supply function is given by the equation
400 − p2 + 2q
= 0.
Find the equilibrium quantity and equilibrium price.
b. Clearly explain what your answer means WITHOUT using the words
“supply”, “demand”, or “equilibrium.”

Demand function: P = 7 – 2Q Supply function: P = 4 + Q Where P
is the farm price in $/bushel and Q is quantity in billions
(1,000,000,000s) of bushels sold. 1. a. Graph the Demand and Supply
curves for wheat and find the equilibrium price and quantity of
wheat sold in this competitive market. You can solve graphically or
algebraically as two equations with two unknowns. Show your
calculations.

a) Suppose the market is defined by
Demand: Q = 138 – 2P
Supply: Q = 5 + 4P
At a price of P = 38, what is the size of the surplus that will
exist in the market?
b) Suppose the market is defined by
Demand: Q = 159 – 3P
Supply: Q = 5 + 2P
At a price of P = 15, what is the size of the shortage that will
exist in the market?
c)
A...

Consider a market for oil. Demand and supply of oil are given as
shown. The demand for oil is: Q = 12 - 2P The supply of oil is: Q =
4P.
What is the equilibrium price of oil? (Using the two
equations, solve for P)
Consider a market for oil. Demand and supply of oil are given as
shown. The demand for oil is: Q = 12 - 2P The supply of oil is: Q =
4P.
What is...

The demand for a commodity of a company is given by the demand
function: [3+2+1] p = (60 − q 10) 2 a) Find the elasticity of
demand E(p). [3 marks] b) What price results in the maximum
revenue? [2 marks] c) What is the maximum revenue? [1 mark]

A supply function and a demand function are given. Supply: p =
1/3q^2 + 12, Demand: p = 63 − 7q − 3q^2
Algebraically determine the market equilibrium point. (q, p)
=?

The market demand function for a good is given by Q = D(p) = 800
− 50p. For each firm that produces the good the total cost function
is TC(Q) = 4Q+ Q^2/2 . Recall that this means that the marginal
cost is MC(Q) = 4 + Q. Assume that firms are price takers.
(a) What is the efficient scale of production and the minimum of
average cost for each firm? Hint: Graph the average cost curve
first.
(b) What...

Assume that demand for a commodity is represented by the
equation P = 10 - 0.2Q and supply by the equation
P = 2 + 0.2Q. Find equilibrium price and quantity
(algebraically). Then graph the supply and demand lines, plot
equilibrium point and label axes, equilibrium P* and Q*, vertical
and horizontal intercepts for demand curve, and vertical intercept
for the supply curve.

A firms demand function is Q= 10 - P/6; its supply function is
Q= P/3 - 2.a) what is the equilibrium quantity?b) What is the equilibrium price?c.) Draw a graph showing the inverse DEMAND function, inverse
SUPPLY function, equilibrium price, and equilibrium quantity.Label the axes, the curves, and equilibrium. Also, show the
values of the intercepts of the inverse demand and supply
functions.

Find the equilibrium quantity and equilibrium price for the
commodity whose supply and demand functions are given.
Supply:p=120q Demand: p= - q2 +16,000 The equilibrium quantity is
q = ------------ at price p= $ -------------.

ADVERTISEMENT

Get Answers For Free

Most questions answered within 1 hours.

ADVERTISEMENT

asked 2 minutes ago

asked 4 minutes ago

asked 9 minutes ago

asked 11 minutes ago

asked 24 minutes ago

asked 34 minutes ago

asked 39 minutes ago

asked 39 minutes ago

asked 47 minutes ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago