Suppose that the extended demand function for men's haircuts in a city is as follows: Qd = 500 - 30p +0.08M, where p is the price of haircuts and M is the average monthly income in the city. Suppose that the extended supply function for haircuts is Qs = 100 + 20p -30w where p is the price of haircuts and w is the average hourly wage of barbers. Assume that M = $5000 and w = $10 What are the constant/intercept terms of the reduced equations for Qd and Qs. a. Qd=100; Qs=50 b. Qd=100; Qs= 100 c. Qd=900; Qs= -200 d. Qd=1000; Qs=500

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