3. Given the following equations representing the behavior of producers and consumers: Consumers: Qd = 1,235...

 

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3. Given the following equations representing the behavior of producers and consumers: Consumers: Qd = 1,235 - 7P, Producers: Qs =58P, (P: Price) (Qd: quantity demanded, Qs: Quantity supplied) (15%) Quantity Demanded Qd Quantity Supplied Qs Price 33 29 27 25 23 21 19 17 a. Graph and label Demand and Supply. (5%) must be in scale (Price: Y-axis, Quantity: X-axis) b. What price corresponds to the equilibrium price for this market? What is the equilibrium quantity? (show your calculation) (2%), must show them clearly in your graph. c. What will happen if the price is set at $17? (2%) Please specify the distance and term, also show it on the graph (2%) d.. What will happen if the price is set at $25? (2%) Please specify the distance term, also show it on the graph (2%) 3. Given the following equations representing the behavior of producers and consumers: Consumers: Qd = 1,235 - 7P, Producers: Qs =58P, (P: Price) (Qd: quantity demanded, Qs: Quantity supplied) (15%) Quantity Demanded Qd Quantity Supplied Qs Price 33 29 27 25 23 21 19 17 a. Graph and label Demand and Supply. (5%) must be in scale (Price: Y-axis, Quantity: X-axis) b. What price corresponds to the equilibrium price for this market? What is the equilibrium quantity? (show your calculation) (2%), must show them clearly in your graph. c. What will happen if the price is set at $17? (2%) Please specify the distance and term, also show it on the graph (2%) d.. What will happen if the price is set at $25? (2%) Please specify the distance term, also show it on the graph (2%)

Answer rating: 100% (QA)

a To graph the demand and supply curves we need to find the intercept of the curves with the price a... View the full answer