The demand and supply functions of beans are respectively given as 20QB +15PB- 5PR=6000 and 10QB-15PB=1200. Similarly, the demand and supply of rice are QR+PR- PB=250 and 3QR-7PR=710. PB and PR are prices of beans and rice. QB is demand of beans and QR is demand of rice. Find the equilibrium price and quantity of beans and rice. A rice and beans substitute? Explain you answer.

The demand and supply functions of beans are respectively given as 20QB +15PB- 5PR=6000 and 10QB-15PB=1200. Similarly, the demand and supply of rice are QR+PR- PB=250 and 3QR-7PR=710. PB and PR are prices of beans and rice. QB is demand of beans and QR is demand of rice. Find the equilibrium price and quantity of beans and rice. A rice and beans substitute? Explain you answer.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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