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# test1q4 - 4 Suppose Tom’s demand for widgets is Q1 3O-—...

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Unformatted text preview: 4. Suppose Tom’s demand for widgets is Q1 : 3O -— 2p where p denotes the price of the good and ([1 is the quantity demanded by Tom. (a) (5 marks) What is Tom’s inverse demand function? “in : 5Q" (13) (5 marks) Suppose Jerry’s demand for widgets is QQ : ‘20 — Lip where p denotes the price of the good and q; is the quantity demanded by Jerry? What is the maximum amount Jerry would be Willing to pay for 8 units of the good, i.e., what is Jerry’s willingnesn to pay? ' f . t x J ‘ x ‘ "1 4 / I.) v a.) I, *f w \ ‘ r .1) ,L. L” 3"; “"‘i I . ' , L Q, ) I 2 a“ | '1 J if.” 7 93/15 {If - 2 J. ' . i \ -‘- ' If .H g m 3 u «,3 ’, 3 \\ P i . ..._ .wg a A n J A" ’17.") ." i' 7'} .-« g: 1 I} _‘ if M ‘r ._ ' x», U z T Q ~ e 7 J- - -momﬁ - i v.12. g_ .F- ‘ "D " P ( i .- {i lit) u L. — \ N P in L4 i '5 (d) (10 marks) IfTom and Jerry are the only two people interested in this good= what is the equation of market demand? i .,-—r' i I l E ‘ \ ““" --v —— Km.” Ex». \5 I K‘s. H - I, Ltd d. - _e .1 I,‘ 1 ‘ d j) T2 m ‘2 :7.“ -~ «3 J , : \a-f' :~ \F ;-‘ {.7 . J _/i ) v’ ‘. 3w‘ﬁdf) r,‘./ ’4! #3 J I J I I E 3 “’ r: j; ., “*‘ k. :" L/ “““ “w.”- A ' A -- ' 7 L \. ...
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