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Unformatted text preview: supply equation). The answers will be the same since = = Qd Qs EQ :-Let’s use the demand equation =-Qd 120 4Pd to find = Qd EQ =-→ EQ 120 4Pd We know Pd = -4.29 (always use the actual value to calculate, not the absolute value) =- (- . ) EQ 120 4 4 29 = + . → EQ 120 17 16 Sign changes when we multiply two negative numbers = . ≈ EQ 137 16 or 137 So form part (a) and (b) we can say that the equilibrium price (Ep) is $4.29 and equilibrium quantity (E Q ) is 137 units....
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This note was uploaded on 12/13/2010 for the course X X taught by Professor X during the Spring '10 term at Ryerson.
- Spring '10