Assume the market supply curve is given by P s(Qs)=1* Qs (i.e., one multiplied by Qs) and the market demand curve is given by PD(QD)=200- Qp. a) What are the equilibrium prices and quantities in the competitive equilibrium? Call this combination of price and quantity: A. b) Draw a diagram that shows the market supply and demand curve as well as the competitive equilibrium. c) What is the price elasticity of demand at the equilibrium price? d) Using the price elasticity of demand at the equilibrium price, if the equilibrium price would drop by 20%, by how many percent would the demanded quantity change? Call this new combination of price and quantity: B. e) Is combination B on the demand curve? Add it to your diagram. f) Calculate the price elasticity of demand at B and compare it to A. Why is demand elasticity different between at A and B