The supply and demand for concert tickets are given in the table below. Price (R) 0 4 8 12 16 20 24 28 32 36 40 Quantity Demanded 15 14 13 12 11 10 9 8 7 6 5 Quantity Supplied 0 0 0 0 0 1 3 5 7 9 11 4.1.1. Plot the supply and demand curves to scale and establish the equilibrium price and quantity. 4.1.2. What is the excess supply or demand (as applicable) when price is R24? And when price is R36? 4.1.3. Describe the market adjustments in price induced by these two prices. 4.1.4. The functions underlying the example in the table are linear and can be presented as P = 18+2Q (supply) and P = 60−4Q (demand). Solve the two equations for the equilibrium price and quantity values. 4.2. Briefly explain how each of the following affects the demand for goods and services in a market place and highlight the effects on price and the equilibrium position. 4.2.1. Price of the product or service 4.2.2. Price of related goods; 4.2.3. Income of consumers; 4.2.4. Number of consumers;
The
Price (R)
0
4
8
12
16
20
24
28
32
36
40
Quantity Demanded
15
14
13
12
11
10
9
8
7
6
5
Quantity Supplied
0
0
0
0
0
1
3
5
7
9
11
4.1.1. Plot the supply and demand
4.1.2. What is the
4.1.3. Describe the market adjustments in price induced by these two prices.
4.1.4. The functions underlying the example in the table are linear and can be presented as P = 18+2Q (supply) and P = 60−4Q (demand). Solve the two equations for the equilibrium price and quantity values.
4.2. Briefly explain how each of the following affects the demand for goods and services in a market place and highlight the effects on price and the equilibrium position.
4.2.1. Price of the product or service
4.2.2. Price of related goods;
4.2.3. Income of consumers;
4.2.4. Number of consumers;
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