rket nas a demand fun ion given by the equation supply given by the equation Qs = -15 + P. The market is government-regulated with a price support ber unit and production quotas. (NOTE: A production quota is a restriction on the quantity of the good that can be produced. Firms are not allowed to produce more than the quota) a) If the price is set at $72 per unit, what production quota is needed to make sure there are no shortages or surpluses? HINT: Sketch the supply and demand equations. Answer:
rket nas a demand fun ion given by the equation supply given by the equation Qs = -15 + P. The market is government-regulated with a price support ber unit and production quotas. (NOTE: A production quota is a restriction on the quantity of the good that can be produced. Firms are not allowed to produce more than the quota) a) If the price is set at $72 per unit, what production quota is needed to make sure there are no shortages or surpluses? HINT: Sketch the supply and demand equations. Answer:
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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![Question 6
A market has a demand function given by the equation Qd = 180 – 2P, and a supply function
given by the equation Qs = -15 + P. The market is government-regulated with a price support
per unit and production quotas. (NOTE: A production quota is a restriction on the quantity
of the good that can be produced. Firms are not allowed to produce more than the quota)
(a) If the price is set at $72 per unit, what production quota is needed to make sure there are no
shortages or surpluses?
HINT: Sketch the supply and demand equations.
Answer:](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F17d4a1eb-f5dd-4eb7-87bd-37f3749c8d46%2F544b1b64-1a34-4a93-a47f-1316580ebfb3%2Ff9yfl85_processed.png&w=3840&q=75)
Transcribed Image Text:Question 6
A market has a demand function given by the equation Qd = 180 – 2P, and a supply function
given by the equation Qs = -15 + P. The market is government-regulated with a price support
per unit and production quotas. (NOTE: A production quota is a restriction on the quantity
of the good that can be produced. Firms are not allowed to produce more than the quota)
(a) If the price is set at $72 per unit, what production quota is needed to make sure there are no
shortages or surpluses?
HINT: Sketch the supply and demand equations.
Answer:
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