Kids in the city were willing and able to buy 12 rolls of cotton candy when the price was $1.00 each and 2 rolls of cotton candy when the price was $3.00 each. However, cotton candy machine owners in the city are willing to make 2 cotton candy rolls when the price was$1.00 and 12 cotton candy rolls when the price is $3.00 ii) Assuming that the market is linear, showing all working Derive the demand curve Pd(Q) for cotton candy in the term of price, where x= quantity Derive the supply curve Ps(Q) for cotton candy in term of price, where x = quantity iii) Using your answer from part (ii), Determine the equilibrium price and quantity for cotton candy in the city
Kids in the city were willing and able to buy 12 rolls of cotton candy when the price was $1.00 each and 2 rolls of cotton candy when the price was $3.00 each. However, cotton candy machine owners in the city are willing to make 2 cotton candy rolls when the price was$1.00 and 12 cotton candy rolls when the price is $3.00 ii) Assuming that the market is linear, showing all working Derive the demand curve Pd(Q) for cotton candy in the term of price, where x= quantity Derive the supply curve Ps(Q) for cotton candy in term of price, where x = quantity iii) Using your answer from part (ii), Determine the equilibrium price and quantity for cotton candy in the city
Economics (MindTap Course List)
13th Edition
ISBN:9781337617383
Author:Roger A. Arnold
Publisher:Roger A. Arnold
Chapter3: Supply And Demand: Theory
Section: Chapter Questions
Problem 8WNG
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Kids in the city were willing and able to buy 12 rolls of cotton candy when the price was $1.00 each and 2 rolls of cotton candy when the price was $3.00 each. However, cotton candy machine owners in the city are willing to make 2 cotton candy rolls when the price was$1.00 and 12 cotton candy rolls when the price is $3.00
ii) Assuming that the market is linear, showing all working
- Derive the demand curve Pd(Q) for cotton candy in the term of price, where x= quantity
- Derive the supply curve Ps(Q) for cotton candy in term of price, where x = quantity
iii) Using your answer from part (ii), Determine the
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