Question 3 (CLO3): Answer the following questions based on figure given below100 200 300 400 500 600Quanity1: Determine equilibrium price (2. Determine equilibrium quantity3. If a maximum price of $8 is set, What disequilibrium situation results? Calculate. The priceshould increase or decrease to attain the equilibrium.4. If a minimum price of $2 is set, What kind of disequilibrium situation results? Calculate. Theprice should increase or decrease to attain the equilibrium.Price (dollars

Demand curve shows an inverse relationship between price and quantity demanded. Supply curve shows…

Question 3 (CL03): Answer the following questions based on figure given below 10 300 400 500 600 Quanity 100 200 1: Determine equilibrium price ( 2. Determine equilibrium quantity 3. If a maximum price of $8 is set, What disequilibrium situation results? Calculate. The should increase or decrease to attain the equilibrium. 4. If a minimum price of $2 is set, What kind of disequilibrium situation results? Calculate price should increase or decrease to attain the equilibrium Price (dollars)

Question 3 (CL03): Answer the following questions based on figure given below 10 300 400 500 600 Quanity 100 200 1: Determine equilibrium price ( 2. Determine equilibrium quantity 3. If a maximum price of $8 is set, What disequilibrium situation results? Calculate. The should increase or decrease to attain the equilibrium. 4. If a minimum price of $2 is set, What kind of disequilibrium situation results? Calculate price should increase or decrease to attain the equilibrium Price (dollars)

ECON MICRO

5th Edition

ISBN:9781337000536

Author:William A. McEachern

Publisher:William A. McEachern

Chapter4: Demand, Supply, And Markets

Section: Chapter Questions

Problem 6.11P

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DVANCED ANALYSIS Assume that demand for a commodity is represented by the equation          P=80−2Qd.�=80−2��.Supply is represented by the equation          P=−20+2Qs,�=−20+2��,where Qd and Qs are quantity demanded and quantity supplied, respectively, and P is price.Instructions: Round your answer for price to 2 decimal places and enter your answer for quantity as a whole number. Using the equilibrium condition Qs = Qd, solve the equations to determine equilibrium price and equilibrium quantity.    Equilibrium price = $    Equilibrium quantity =  units
ADVANCED ANALYSIS Assume that demand for a commodity is represented by the equation          P=75−2Qd.P=75−2Qd.Supply is represented by the equation          P=−15+4Qs,P=−15+4Qs,where Qd and Qs are quantity demanded and quantity supplied, respectively, and P is price.Instructions: Round your answer for price to 2 decimal places and enter your quantity as a whole number.a. Using the equilibrium condition Qs = Qd, determine equilibrium price.      b. Now determine equilibrium quantity.
Will the equilibrium price of orange juice increase or decrease in each of the following situations? LO7a. A medical study reporting that orange juice reduces cancer is released at the same time that a freak storm destroys half of the orange crop in Florida. The prices of all beverages except orange juice fall in half while unexpectedly perfect weather in Florida results in an orange crop that is 20 percent larger than normal.
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The price of oil is currently over $80 per barrel and has been as high as $90 per barrel after Saudi Arabia and a couple of oter OPEC countries reduced output this year. The demand for oil is expected to increase by 1 million barely per day over the next year according to the International Energy Agency but OPEC+ has been unclear about its intentions of increasing oil supplies. a. If OPEC+ increases its production by million barrels per day, we can unambiguously say that the equilibrium price will fall, and the equilibrium quantity will rise.
10) Suppose the price of X rises by 20 % on January 10, 2021 and that by March 10, 2021 the quantity of X demanded has fallen by 5 %. What must be true (ceteris paribus) about the quantity of X demanded as of December 10, 2021? a) it must be no greater than it was on March 10 b) it must be at least 20% above what it was on January 10 c) it must be greater than it was on March 10 d) it cannot be determined with the given information
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