Suppose the demand function for avocados isQ-104 - 40p + 20p, +001Y,where p is the price of avocados, P is the price of tomatoes, and Y is average income, and the supply function for avocados isQ-58 + 15p-20p.where pr is the price of fertilizer.Suppose p $0.80, Y= $4,000, and p 30 40. What is the equibrium price and quantity of avocados?The equilibrium price of avocados isand the equilibrium quantity isQ=80 units. (Enter your responses rounded to wo decimal places)Suppose the govemment charges a $1.65 specific tax per avocado to be paid by consumensWith the tax, the equilibrium price of avocados isand the equilibrium quantity inO-74 units

The equilibrium is at demand equal to supply.To add tax we need to add the tax to the inverse demand…

Answered: Suppose the demand function for…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

A baker will supply 17 jumbo cinnamon rolls to a cafe at a price of $3.91 each. If she is offered $3.15, then she will supply 4 fewer rolls to the cafe. The cafe's demand for jumbo cinnamon rolls is given by p = D(x) = -0.48x + 8.05. What is the equilibrium point? ___ rolls at a price of $ ___ each
The supply curve for televisions is given by QS=−20+4p where QS represents the quantity of televisions supplied and P is the price of televisions. The market demand for televisions is given by QD=400−10p where QD is the demand for televisions. Find the equilibrium price and quantity of televisions. Describe what will occur if price falls fellow equilibrium price calculated above. How will this situation will be corrected?
Q.1. Suppose the demand and Supply function for tomatoes is given by 1.5p = 2.1 q – 0.4 = S(q) and 1.5 p = - 39 + 4.6 = D(q) Where p is the price in Omani Rial and q is the quantity in Kilogram. Find a) Equilibrium Quantity b) Equilibrium Price c) Find the price from demand function if quantity is 1.5 kilogram d) Find the quantity from supply function if price is 1.5 Omani Rial
Assume that the demand curve D(p) given below is the market demand for widgets: Q = D(p) = 1183-12p, p > 0 Let the market supply of widgets be given by: Q = S(p) = -5 + 10p, p > 0 where p is the price and Q is the quantity. The functions D(p) and S(p) give the number of widgets demanded and supplied at a given price. What is the equilibrium price? Please round your answer to the nearest hundredth. What is the equilibrium quantity? Please round your answer to the nearest integer. What is the total revenue at equilibrium? Please round your answer to the nearest integer
Suppose the market demand curve for cranberry is given by the equation Qd=500-4P, while market supply curve for cranberry is described by the equation Qs=-100+2P where P is the price. Find the equilibrium quantity of cranberries ?
Consider a hypothetical market for copper (q), where q is measured in 1000 tons. Suppose the supply of virgin copper is Sv = 10+5q. Suppose that the supply for recycled copper is Sr = 15+2.5q. Demand for copper is P = 65 - 1.5q. Note, buyers don't distinguish between recycled and virgin copper. The equilibrium price and output for copper is (hint: draw a graph) q=8.46, p = $52.31. q=0, p = $65. q=12.50, p = $46.25. O q=4.44, p = $58.33.
Using the supply and demand functions below, derive the demand and supply curves if Y=$55,000 and pc=$9. What is the equilibrium price and quantity of coffee? Part 2 The demand function for coffee is Q=8.5−p+0.01Y, where Q is the quantity of coffee in millions of pounds per year, p is the price of coffee in dollars per pound, and Y is the average annual household income in high-income countries in thousands of dollars. The coffee supply function is Q=9.6+0.5p−0.2pc, where pc is the price of cocoa in dollars per pound.
Suppose that the market supply of baseball caps in the local area is given by the following equation: Qs = 362 + 3P where Qs is the quantity baseball caps per month that sellers in the local area would be willing to provide at a price of P dollars. What is the quantity supplied at a price of 14 dollars?
The demand for pocket calculators is given by the function: P = 6 - 0.5Qd; and the supply is given by the function: 6 = Qs - P; where = Qd = quantity demanded, Qs= quantity supplied and P = price. Solve for the equilibrium price and quantity in this market.
Suppose the demand curve for a product is given by: where I is average income measured in thousands dollars. The supply curve is: Q 3P 150. Q=200-2P+41 If1 =25, find the market-clearing price and quantity for the product. The market-clearing price is $ and the market-clearing quantity is (Enter your response as an integer.) 220 200 180 160- 140- 120- 100- 80- 60- 40- 20 100 200 Quantity
Market in equilibrium: consider a market for smartphones where the equilibrium price (P*) is $600 per phone, and the equilibrium quantity (Q*) is 100,000 phones per month draw the initial supply and demand graph. qor Q Events: Due to a global shortage of microchips, the cost of producing smartphones increases significantly. Additionally, a new study reveals that smartphone usage can lead to improved cognitive abilities, leading to an increased demand for smartphones. Explain how both the supply and demand curves would be affected. Draw the new supply and demand curves on your graph (in red) and predict the changes in equilibrium price and quantity. I Demand: Supply:
The island nation of Coconutistan recently suffered an unfortunate accident which took its water treatment plant offline, leaving residents without clean water in their homes. The plant for bottling water was unaffected by the accident. The graph shows the supply and demand for bottled water before the accident. Assume that $6 is the maximum price for a case of bottled water according to the price gouging laws on the island. Shift one or more curves to show the effect of the accident on the market for bottled water. Price ($)Quantity of bottled water by the case01002003004005006007008009001,000012345678910SupplyDemandPrice ceiling What is the amount of the shortage after the accident? shortage:

SEE MORE QUESTIONS

Recommended textbooks for you

ENGR.ECONOMIC ANALYSIS

Economics

ISBN:

9780190931919

Author:

NEWNAN

Publisher:

Oxford University Press

Principles of Economics (12th Edition)

Economics

ISBN:

9780134078779

Author:

Karl E. Case, Ray C. Fair, Sharon E. Oster

Publisher:

PEARSON

Engineering Economy (17th Edition)

Economics

ISBN:

9780134870069

Author:

William G. Sullivan, Elin M. Wicks, C. Patrick Koelling

Publisher:

PEARSON

ENGR.ECONOMIC ANALYSIS

Economics

ISBN:

9780190931919

Author:

NEWNAN

Publisher:

Oxford University Press

Principles of Economics (12th Edition)

Economics

ISBN:

9780134078779

Author:

Karl E. Case, Ray C. Fair, Sharon E. Oster

Publisher:

PEARSON

Engineering Economy (17th Edition)

Economics

ISBN:

9780134870069

Author:

William G. Sullivan, Elin M. Wicks, C. Patrick Koelling

Publisher:

PEARSON

Principles of Economics (MindTap Course List)

Economics

ISBN:

9781305585126

Author:

N. Gregory Mankiw

Publisher:

Cengage Learning

Managerial Economics: A Problem Solving Approach

Economics

ISBN:

9781337106665

Author:

Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Publisher:

Cengage Learning

Managerial Economics & Business Strategy (Mcgraw-…

Economics

ISBN:

9781259290619

Author:

Michael Baye, Jeff Prince

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS