Question: The watch market is given as below: P: Prices per watch Qo: Quantity demanded of watch(es) Qs : Quantity supplied of watch(es) 120 100

The watch market is given as below: P: Prices per watch Qo:

The watch market is given as below: P: Prices per watch Qo: Quantity demanded of watch(es) Qs : Quantity supplied of watch(es) 120 100 P (USD) QD (units) 0 750 100 600 80 200 450 60 300 300 40 400 150 20 500 Qs (units) a. Define the demand and supply equations of this watch market. Compute the equilibrium price and quantity of this product 0 b. Compute the demand and supply elasticity of this product at P = 80 v P = 60 (by midpoint method)

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