Please show your steps and explain.

Suppose the market for gigantic mylar birthday balloons is described by OD = 40 - 6P + 0.2l (Q = Qty of Balloons in 10005; | = Ave. Income in $10005) QS = 2P - 2PM (P = Price of Balloons in $; PM=Price of 1 kg of raw mylar) 1)Briefly explain the economics of the signs of each coefficient. For example, does an increase in the price of Mylar increase or decrease the quantity supplied? Why does that make sense economically? 2)Assume that average income is $50,000 and the current price of mylar is $3lkg. Calculate the equilibrium price and quantity in this market, and draw a graph of the equilibrium (be sure to label the intercepts and the equilibrium with the correct numbers). 3)Now assume that the price of mylar rises from $3le to $5lkg. Calculate the new equilibrium and show it in your original graph. 4)At the original equilibrium in question 2 (ie PM=$3), calculate the price elasticity of demand. and the price elasticity of supply. At this point, is the demand curve price elastic, or price inelastic? Explain what these terms mean. Remember to exploit our simplification of the elasticity formula for linear S/D curves. 5)After the rise in the price of mylar (i.e. use the 2"\" equilibrium from 3), suppose the government imposes a quota that no more than 2,000 mylar balloons can be sold. Draw a new graph that compares consumer and producer surplus before and alter the imposition of the quota, and calculate the dollar amount of the deadweight loss associated with this quota. Apply the same "letters\" analysis from lecture to the quota