The demand for coffee is given by the following equation, where QD stands for the quantity demanded and P stands for price. QD 100 - 4P = The supply of coffee is given by the following equation, where QS stands for the quantity supplied and P stands for price. QS = -10 + 2P For parts a-d, consider a graph of the demand and supply curves with price on the vertical axis and quantity on the horizontal axis. a. What is the slope of demand? Slope = b. At what price is quantity demanded equal to zero (this is, graphically, the vertical intercept of Demand)? P= 25 c. What is the slope of supply? Slope = d. At what price is quantity supplied equal to zero (this is, graphically, the vertical intercept of Supply)? P= 5 S www

The demand for coffee is given by the following equation, where QD stands for the quantity demanded and P stands for price. QD 100 - 4P = The supply of coffee is given by the following equation, where QS stands for the quantity supplied and P stands for price. QS = -10 + 2P For parts a-d, consider a graph of the demand and supply curves with price on the vertical axis and quantity on the horizontal axis. a. What is the slope of demand? Slope = b. At what price is quantity demanded equal to zero (this is, graphically, the vertical intercept of Demand)? P= 25 c. What is the slope of supply? Slope = d. At what price is quantity supplied equal to zero (this is, graphically, the vertical intercept of Supply)? P= 5 S www

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter5: Markets In Motion And Price Controls

Section: Chapter Questions

Problem 10P

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