Question: Please help with a and b Problem 2 In the central United States, farm ground is devoted to corn and beans as far as the

Please help with a and b

Problem 2 In the central United States, farm ground is devoted to corn and beans as far as the eye can see. The supply of beans (in millions of bushels) is given by st:3.5 Pb - 1.3 PC. The supply of corn is given by QSCZ35 PC - 1.3Pb. Let the demand for beans be given by Qd :36 - Pb, and the demand for corn be given by Qdc=36 - PC. a) Solve the general equilibrium price and quantity of both beans and corn. Price of beans: Quantity of beans: Price of corn: Quantity of corn: b) Suppose there is a shock to bean demand so that the quantity demanded at each price increases by 8 million bushels. The new demand for beans can be written as de:44 - Pb. Solve for the new general equilibrium price and quantity of beans and corn. Price of beans: Quantity of beans: Price of corn: Quantity of corn

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