1. For a given good: D = demand; O = offer; P = price. If the supply (O) and demand (D) functions are represented as follows:
D = 150-17P O = 45P + 300

a) Calculate the equilibrium price of the good.

b) After having determined the equilibrium price, explain what would happen in demand and supply if the price were lower and if it were higher.
(Hint: Choose the values ??of your preference for lower and higher price.)

2. The market supply and demand curves for a given product are:
                 O = 20P + 520 D = 17,500-27P

a) Determine the quantities supplied and demanded at prices of $ 100 and $ 200.

b) For each of the prices ($ 100 and $ 200), etermine if there is excess supply and demand

1. For a given good: D = demand; O = offer; P = price. If the Offer (O) and demand (D) functions are represented as follows:

D = 150-17P O = 45P + 300

a) Calculate the equilibrium price of the good.

b) After having determined the equilibrium price, explain what would happen in demand and offer if the price were lower and if it were higher.
(Hint: Choose the values ??of your preference for lower and higher price.)

2. The market Offer and demand curves for a given product are:
                 O = 20P + 520 D = 17,500-27P

a) Determine the quantities Offered and demanded at prices of $ 100 and $ 200.

b) For each of the prices ($ 100 and $ 200), determine if there is excess offer and demand

Answer rating: 100% (QA)

Problem 1 a Equilibrium Price To find the equilibrium priceset the demand D equal to the offer O and ... View the full answer