Question: Y 2. Consider the following demand and supply functions for a good: QD = 5 ; Q5 Suppose Y = $27, and Pinput = $2.

= $2. (i) Find the equilibrium price and equilibrium quantity. (ii) Calculate

price elasticity of demand at the equilibrium and interpret the value. (iii)Calculate

Y 2. Consider the following demand and supply functions for a good: QD = 5 ; Q5 Suppose Y = $27, and Pinput = $2. (i) Find the equilibrium price and equilibrium quantity. (ii) Calculate price elasticity of demand at the equilibrium and interpret the value. (iii)Calculate price elasticity of supply at the equilibrium and interpret the value. (iv)Calculate income elasticity of demand at the equilibrium and interpret the value

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