5. Consider the price-supply functionp= S(z) = 5+0.1lr.(a) Find the equilibrium quantity z if the producers" surplus at 7 is 500pesos.(b) Find the corresponding equilibrium price, p.(c) If p = D(z) = ar + b is the price-demand equation, find the values of2000a and b so that the consumers" surplus at the equilibrium point is -3pesos.

The equilibrium price and quantity of a good or service are determined by the forces of demand and…

5. Consider the price-supply function P= S(z) = 5+0.lz. (a) Find the equilibrium quantity ī if the producers surplus at I is 500 pesos. (b) Find the corresponding equilibrium price, F. (c) If p = D(z) = a? + b is the price-demand equation, find the values of 2000 a and b so that the consumers' surplus at the equilibrium point is 3 pesos.

5. Consider the price-supply function P= S(z) = 5+0.lz. (a) Find the equilibrium quantity ī if the producers surplus at I is 500 pesos. (b) Find the corresponding equilibrium price, F. (c) If p = D(z) = a? + b is the price-demand equation, find the values of 2000 a and b so that the consumers' surplus at the equilibrium point is 3 pesos.

ECON MICRO

5th Edition

ISBN:9781337000536

Author:William A. McEachern

Publisher:William A. McEachern

Chapter6: Consumer Choice And Demand

Section: Chapter Questions

Problem 3.7P

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