Question

A camp has 12 adults and 12 teenagers. An individual adult’s demand for a cleaning product   ...

  1. A camp has 12 adults and 12 teenagers. An individual adult’s demand for a cleaning product    is Q = 21 − 6P , and an individual teenager’s demand is Q = 6 − 3P . The supply for the supply for this product is P = 5Q.
    1. Suppose that the cleaning product is a private good. Write down the combined demand of the camp for this cleaning product. What would be the equilibrium price and quantity of this product at the camp?
    2. Now suppose that the cleaning product is a public good. Write down the combined demand of the camp for this product. What would be the equilibrium price and quantity of this product at the camp?
Business   Economics   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
A camp has 12 adults and 12 teenagers. An individual adult’s demand for a cleaning product...
A camp has 12 adults and 12 teenagers. An individual adult’s demand for a cleaning product is Q = 21 − 6P , and an individual teenager’s demand is Q = 6 − 3P . The supply for the supply for this product is P = 5Q. Suppose that the cleaning product is a private good. Write down the combined demand of the camp for this cleaning product. What would be the equilibrium price and quantity of this product at...
Individuals A and B are the only consumers of good X. Individual A demand for good...
Individuals A and B are the only consumers of good X. Individual A demand for good X is given by: Q = 8 – P and individual B demand for good X is given by: Q = 6 – P. The supply for good X is given by MC = 4. Assume good X is a (pure) public good. Good X equilibrium quantity is [q]. (NOTE: Write your answer in number format, with 2 decimal places of precision level; do...
The supply and demand equations for a product have been estimated to be: S : p...
The supply and demand equations for a product have been estimated to be: S : p = 5q − 3, D : p = −3q + 21 where p is the price in dollars per product and q is the quantity in thousands. What is the equilibrium quantity? Find the equilibrium price. Shortage or surplus when the price is $7.5. Explain
Consider the following supply and demand functions qD = 12-3p qS = -3 + 2p a)...
Consider the following supply and demand functions qD = 12-3p qS = -3 + 2p a) Plot the supply and demand functions. b) What are the equilibrium price and quantity? c) At the equilibrium price and quantity, what is the price elasticity of demand? d) Interpret the price elasticity of demand. How much will quantity change if the price increases by 1%? e) Suppose I were to calculate an income elasticity of e = 0.5 What does this imply about...
Suppose the demand and supply for a product is given by the following equations: p=d(q)=−0.8q+150 (Demand)...
Suppose the demand and supply for a product is given by the following equations: p=d(q)=−0.8q+150 (Demand) p=s(q)=5.2q (Supply) For both functions, q is the quantity and p is the price. Find the equilibrium point. (Equilibrium price and equilibrium quantity) (1.5 Marks) Compute the consumer surplus. (1.5 Marks) Compute the producer surplus. (1.5 Marks)
The demand for a product is Qd=320-8p-2px and supply is Qs=20+4p, where Q is the quantity...
The demand for a product is Qd=320-8p-2px and supply is Qs=20+4p, where Q is the quantity for the product, in thousands of units, P is the price of the product, and Px is the price of the another good X 1) When Px =$30, what is the equilibrium price and quantity sold for the product? 2) At the equilibrium price and quantity, what is the price elasticity of demand for the product?
Consider a closed economy. Let the demand curve be P = 80 - Q and the...
Consider a closed economy. Let the demand curve be P = 80 - Q and the supply curve be P = 20 + 2Q a) Calculate the equilibrium price and equilibrium quantity. b) Suppose the government sets a price ceiling of $55, what is the amount of excess demand or excess supply? (Write down excess demand or excess supply). c) Suppose the government sets a production quota of 16 units, calculate the equilibrium price and equilibrium quantity.
Use the results from the problem above. The market for product Q has many identical firms,...
Use the results from the problem above. The market for product Q has many identical firms, each having the short-run total cost function: STC(q) = 400 + 5q + q2, where q is the firm’s annual output. We also know that the market-level demand and supply curves are given as: Market demand: QD = 262.5 – 0.5P, Market supply: QS = – 30 + 6P, where Q is the market level quantity and P is the unit price of Q...
The demand for a product is given by p = d ( q ) = −...
The demand for a product is given by p = d ( q ) = − 0.8 q + 150 and the supply for the same product is given by p = s ( q ) = 5.2 q. For both functions, q is the quantity and p is the price in dollars. Suppose the price is set artificially at $70 (which is below the equilibrium price). a) Find the quantity supplied and the quantity demanded at this price. b)...
2Q Consider a closed economy. Let the demand curve be P = 80 - Q and...
2Q Consider a closed economy. Let the demand curve be P = 80 - Q and the supply curve be P = 20 + 2Q . a) Calculate the equilibrium price and equilibrium quantity. b) Suppose the government sets a price ceiling of $55, what is the amount of excess demand or excess supply? (Write down excess demand or excess supply). c) Suppose the government sets a production quota of 16 units, calculate the equilibrium price and equilibrium quantity. 2....
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT