The supply of coffee is QS = 2.0 + 0.2P, where quantity is in billions of pounds and price is dollars per pound. The price elasticity of demand for coffee is about -0.3, the current price is $3.00 per pound and the quantity bought and sold is 2.6 billion pounds. Based on this information, the linear demand curve for coffee is: QD = ___ - ___P
The supply of coffee is QS = 2.0 + 0.2P, where quantity is in billions of pounds and price is dollars per pound. The price elasticity of demand for coffee is about -0.3, the current price is $3.00 per pound and the quantity bought and sold is 2.6 billion pounds. Based on this information, the linear demand curve for coffee is: QD = ___ - ___P
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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The supply of coffee is QS = 2.0 + 0.2P, where quantity is in billions of pounds and price is dollars per pound. The
QD = ___ - ___P
A severe drought reduces the supply of coffee by 10 percent at every price. The new equilibrium price of coffee will be
equilibrium quantity will be _________ billion pounds.
what?
and the new (Enter rounded to 2 decimal places.)
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