2. In the town of Reese, there are two kinds of consumers of yarn: Cat toy users: People who buy yarn for their cats to play with and knitting users: people who buy yarn to knit. Each cat toy user has an inverse (price as a function of quantity) demand function for yarn: P=8(1/4)qc. Each knitting user has an inverse demand function for yarn: P=12(1/3)qk.q is number of balls of yarn and P is in dollars. There are 10 cat toy users and 20 knitting users. b. Write an equation for the demand curve (using the inverse demand curve) for each individual: - Cat toys: - Knitting: c. If the price is $4, what is the total amount demanded by each individual - Cat toys: - Knitting: d. If the price is $4, what is the total amount demanded by all - Cat toys: - Knitting: e. If the price is $4, what is the total amount demanded by all consumers? f. If the price is $10, what is the total amount demanded by each individual - Cat toys: - Knitting: g. If the price is $10, what is the total amount demanded by all - Cat toys: - Knitting: h. If the price is $10, what is the total amount demanded by all consumers? i. When the price of a ball of yarn is $3/ ball, how much does demand fall when price rises by 10 cents? j. When the price of a ball of yarn is $10 /ball, how much does demand fall when price rises by 10 cents? k. When the price of a ball of yarn is $12 ball, how much does demand fall when price rises by 10 cents? m. Where are the kinks in the market demand? n. Write the equations that describe the market demand. 2. In the town of Reese, there are two kinds of consumers of yarn: Cat toy users: People who buy yarn for their cats to play with and knitting users: people who buy yarn to knit. Each cat toy user has an inverse (price as a function of quantity) demand function for yarn: P=8(1/4)qc. Each knitting user has an inverse demand function for yarn: P=12(1/3)qk.q is number of balls of yarn and P is in dollars. There are 10 cat toy users and 20 knitting users. b. Write an equation for the demand curve (using the inverse demand curve) for each individual: - Cat toys: - Knitting: c. If the price is $4, what is the total amount demanded by each individual - Cat toys: - Knitting: d. If the price is $4, what is the total amount demanded by all - Cat toys: - Knitting: e. If the price is $4, what is the total amount demanded by all consumers? f. If the price is $10, what is the total amount demanded by each individual - Cat toys: - Knitting: g. If the price is $10, what is the total amount demanded by all - Cat toys: - Knitting: h. If the price is $10, what is the total amount demanded by all consumers? i. When the price of a ball of yarn is $3/ ball, how much does demand fall when price rises by 10 cents? j. When the price of a ball of yarn is $10 /ball, how much does demand fall when price rises by 10 cents? k. When the price of a ball of yarn is $12 ball, how much does demand fall when price rises by 10 cents? m. Where are the kinks in the market demand? n. Write the equations that describe the market demand
