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Green et al. (2005) estimate the supply and demand curves for California processed tomatoes. The supply 140- function is: 130- S 120- In(Qs) = 0.2
Green et al. (2005) estimate the supply and demand curves for California processed tomatoes. The supply 140- function is: 130- S 120- In(Qs) = 0.2 + 0.55 In(p), 110- where Q is the quantity of processing tomatoes in millions 100- of tons per year and p is the price in dollars per ton. The demand function is: Price, $ per ton In(Q ) = 2.6 -0.2 In(p) + 0.15 In(Pt), 989838 8 where pt is the price of tomato paste (which is what processing tomatoes are used to produce) in dollars per ton. Suppose pt = 111. 20- What is the demand function for processing tomatoes, 10- where the quantity is solely a function of the price of D processing tomatoes? 2 6 8 10 12 14 16 18 : (Enter all numeric responses using real numbers rounded Q, Million tons per year to three decimal places.) The demand function for processing tomatoes is In(Q) = - In(p)
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