how do i answer qustion d?

Economics (MindTap Course List)
13th Edition
ISBN:9781337617383
Author:Roger A. Arnold
Publisher:Roger A. Arnold
Chapter5: Supply, Demand, And Price: Applications
Section5.9: Application 9: Easier To Obtain Loans And Higher Housing Prices
Problem 2ST
icon
Related questions
icon
Concept explainers
Question
100%

how do i answer qustion d?

Let z represent the number of items supplied or demanded each month and p represents the unit price of the items (in dollars).
Equation A is 8r + 5p = 240 and Equation B is –7a + 2p = 90.
Answer each of the following. Enter all answers below in exact, reduced form.
a. Which equation is the demand equation? Equation A v because it has a negative v slope.
b. How many items will consumers purchase if the items are free?
30
items
c. Above what price will consumers not buy the item?
$ 48
d. Producers will only provide the items if the price is above what value?
Transcribed Image Text:Let z represent the number of items supplied or demanded each month and p represents the unit price of the items (in dollars). Equation A is 8r + 5p = 240 and Equation B is –7a + 2p = 90. Answer each of the following. Enter all answers below in exact, reduced form. a. Which equation is the demand equation? Equation A v because it has a negative v slope. b. How many items will consumers purchase if the items are free? 30 items c. Above what price will consumers not buy the item? $ 48 d. Producers will only provide the items if the price is above what value?
Expert Solution
Step 1

Given

Equation B is a supply equation because it has positive slope

i.e,

-7x+2p=90

steps

Step by step

Solved in 2 steps

Blurred answer
Knowledge Booster
Points, Lines and Planes
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Economics (MindTap Course List)
Economics (MindTap Course List)
Economics
ISBN:
9781337617383
Author:
Roger A. Arnold
Publisher:
Cengage Learning
Macroeconomics
Macroeconomics
Economics
ISBN:
9781337617390
Author:
Roger A. Arnold
Publisher:
Cengage Learning
Microeconomics
Microeconomics
Economics
ISBN:
9781337617406
Author:
Roger A. Arnold
Publisher:
Cengage Learning