equil and welfare

equil and welfare - P = 20 + Qs. If the price in the market...

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Example Demand Supply Equilibrium Quantity Equilibrium Price 1 P = 100 - 0.5Qd P = 40 +2Qs 24 $88.00 2 P = 80 - 4Qd P = 20 + Qs 12 $32.00 3 P = 200 - 0.25Qd P = 100+ 0.75Qs 100 $175.00 4 P = 10 - 2Qd P = 2 + 2Qs 2 $6 For each example above use the demand and supply curves given to solve for the missing values. Suppose demand is: P = 200 – 2Qd and Supply is:
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Unformatted text preview: P = 20 + Qs. If the price in the market is $50 which of the following is true? A) There is a shortage of 45 units. B) There is a shortage of 30 units. C) There is a surplus of 45 units. D) There is a surplus of 75 units. E) None of the above....
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This note was uploaded on 09/19/2011 for the course ECN 211 taught by Professor Kingston during the Fall '08 term at ASU.

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