In the market for off-campus apartments in San Diego, the market supply curve is QS = 300 + 1/8p The market demand curve for off-campus apartments is QD = 800 - 3/8p What is the equilibrium quantity?
In the market for off-campus apartments in San Diego, the market supply curve is QS = 300 + 1/8p The market demand curve for off-campus apartments is QD = 800 - 3/8p What is the equilibrium quantity?
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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![In the market for off-campus apartments in San Diego, the market supply curve is
QS = 300 + 1/8p
The market demand curve for off-campus apartments is
QD = 800 - 3/8p
What is the equilibrium quantity?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F2225a944-df22-4b7d-83fa-578c45dad04f%2F736fe773-c9f5-46a7-9636-f456ca1d1e46%2Fkcm2v4k_processed.png&w=3840&q=75)
Transcribed Image Text:In the market for off-campus apartments in San Diego, the market supply curve is
QS = 300 + 1/8p
The market demand curve for off-campus apartments is
QD = 800 - 3/8p
What is the equilibrium quantity?
Expert Solution
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Step 1: Define equilibrium
The demand curve is the downward-sloping curve.
The supply curve is the upward-sloping curve.
The equilibrium is where the demand curve intersects the supply curve.
Shortage is when the quantity demanded is greater than the quantity supplied.
Surplus is when the quantity supplied is greater than the quantity demanded.
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