Question
An economist estimates that a market has a demand curve of the form P = 45 - (1.5) Q and a supply curve of the
An economist estimates that a market has a demand curve of the form P = 45 - (1.5) Q and a supply curve of the form P = 4 + (2.25) Q. (See the curves graphed in the figure below.) Accordingly, she estimates that the quantity equilibrium ( Q e) in this market will be 10.93 (or 10.933333) and that the equilibrium price ( P e) in the market will be ____. (Answer may be rounded to nearest hundredth.)
| A. | $13.80 | |
| B. | $28.6 | |
| C. | $38.40 | |
| D. | $50.8 |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
International Economic Relations Since 1945
Authors: Catherine R Schenk
2nd Edition
1351183567, 9781351183567
