Consider the inverse demand and supply for dates to be given by P= 30-3Qd and P= 6+Qs, and the government imposes a price ceiling of $10 to protect consumers. This will increase the consumer surplus by. %3D and create an excess demand of Select one: O A. $18.5, 4.67 units. $12.7, 2.67 units. C. $20 4. 3.25 units. $32.8.5 32 units

Consider the inverse demand and supply for dates to be given by P= 30-3Qd and P= 6+Qs, and the government imposes a price ceiling of $10 to protect consumers. This will increase the consumer surplus by. %3D and create an excess demand of Select one: O A. $18.5, 4.67 units. $12.7, 2.67 units. C. $20 4. 3.25 units. $32.8.5 32 units

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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ADVANCED ANALYSIS Assume that demand for a commodity is represented by the equation P = 80 – 2Qd. Supply is represented by the equation P = -20 + 2Qs, where Qgand Qg are quantity demanded and quantity supplied, respectively, and Pis price. Instructions: Round your answer for price to 2 decimal places and enter your answer for quantity as a whole number. Using the equilibrium condition Qs = Qd, solve the equations to determine equilibrium price and equilibrium quantity. Equilibrium price = $ Equilibrium quantity = units
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- Suppose Dp is the demand curve for plantain, and it is given as; Dp 3 5000 - ЗРр + 5Ру — Ре + 0.1Y 1 where Pp is price of plantain, Py is price of yam, Pc is price of cassava, Y is income of the consumer. 1 Given Pp = 200, Py = 300, Pc = 500 and Y = 5000 calculate 1 Price elasticity of demand 2 Cross-Price elasticity of demand 3 Income elasticity of demand 1 From your estimations, what inferences can be drawn about the nature of plantain to the consumer. 47 /156
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