Task 6. Let us assume that a product has the demand function and supply function displayed below:. QD = 16 - 4P Qs =-2 + 2P, where Qp is quantity demanded, Qs is quantity supplied, P is the price. a) calculate the equilibrium price and the equilibrium quantity if the new price is set at the level of 2 euro, calculate: b) quantity demanded QD c) quantity supplied Qs

Macroeconomics
13th Edition
ISBN:9781337617390
Author:Roger A. Arnold
Publisher:Roger A. Arnold
Chapter3: Supply And Demand: Theory
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Task 6.
Let us assume that a product has the demand function and supply function displayed below:
QD = 16 - 4P Qs
s=-2 + 2P, where Qp is quantity demanded, Qs is quantity supplied, P is the price.
a) calculate the equilibrium price
and the equilibrium quantity
if the new price is set at the level of 2 euro, calculate:
b) quantity demanded
QD
c) quantity supplied
Qs
d) quantity sold
Qsold
e) will there be a shortage or a
surplus? How many units?
ATR=
f) change in total revenues of
producer/seller
Transcribed Image Text:Task 6. Let us assume that a product has the demand function and supply function displayed below: QD = 16 - 4P Qs s=-2 + 2P, where Qp is quantity demanded, Qs is quantity supplied, P is the price. a) calculate the equilibrium price and the equilibrium quantity if the new price is set at the level of 2 euro, calculate: b) quantity demanded QD c) quantity supplied Qs d) quantity sold Qsold e) will there be a shortage or a surplus? How many units? ATR= f) change in total revenues of producer/seller
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