9) MARKET EQUILIBRIUM Suppose the demand for a product is given by p = d(q) = -0.4q + 300 and the supply for the same product is given by p = s(q) = 0.2q. For both functions, q is the quantity and p is the price, in dollars. a. Find the equilibrium point. (i.e. the market demand quantity and the market price) b. Find the consumer surplus at the equilibrium price. c. Find the producer surplus at the equilibrium price.

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Chapter3: Supply And Demand: Theory
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### MARKET EQUILIBRIUM

Suppose the demand for a product is given by \( p = d(q) = -0.4q + 300 \) and the supply for the same product is given by \( p = s(q) = 0.2q \). For both functions, \( q \) is the quantity and \( p \) is the price, in dollars.

#### a. Find the equilibrium point.
(i.e., the market demand quantity and the market price)

#### b. Find the consumer surplus at the equilibrium price.

#### c. Find the producer surplus at the equilibrium price.
Transcribed Image Text:### MARKET EQUILIBRIUM Suppose the demand for a product is given by \( p = d(q) = -0.4q + 300 \) and the supply for the same product is given by \( p = s(q) = 0.2q \). For both functions, \( q \) is the quantity and \( p \) is the price, in dollars. #### a. Find the equilibrium point. (i.e., the market demand quantity and the market price) #### b. Find the consumer surplus at the equilibrium price. #### c. Find the producer surplus at the equilibrium price.
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