Assume that the current demand and supply curves for widgets can be expressed as:
Qd = 200 - 5P and Qs = 50 +10P, respectively, where P denotes the per-unit price of widgets in dollars, Qd is the quantity demanded of widgets in cases per week and Qs is the quantity supplied of widgets in cases per week.
a. the equilibrium quantity is 150 cases per week
b. the equilibrium price is $15
c. at a price of $12 a shortage would occur
d. all of the above
e. none of the above
calculate point price elasticity of demand at a price of 10 dollars. _____
calculate arc price elasticity of demand between a price of $6 and $12. ______
Assume that the current demand and supply curves for widgets can be expressed as:
Qd = 200 - 5P and Qs = 50 +10P, respectively, where P denotes the per-unit price of widgets in dollars, Qd is the quantity demanded of widgets in cases per week and Qs is the quantity supplied of widgets in cases per week.
a. the equilibrium quantity is 150 cases per week
b. the equilibrium price is $15
c. at a price of $12 a shortage would occur
d. all of the above
e. none of the above
calculate point price elasticity of demand at a price of 10 dollars. _____
calculate arc price elasticity of demand between a price of $6 and $12. ______
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The following table gives the demand and supply scheddules for widgets.
|
Price |
Quantity Demanded |
Quantity Supplied |
|
$35 |
133 |
220 |
|
$30 |
147 |
205 |
|
$25 |
161 |
190 |
|
$20 |
175 |
175 |
|
$15 |
189 |
160 |
The equilibrium price in this is $___.
The equilibrium quantity in this market is ___ unit.
If this price in this market was $30, there would be a ___ (A.) shortage, B.) surplus) of ___ units
