Log in
Economics
2
answers
2
watching
359
views

If the demand and supply function are given by, P=20e*0.4Q and P=100e*-0.2Q, respectively, find the equilibrium price and quantity, and calculate the consumers and producers surplus

Watch
2
answers
2
watching
359
views

For unlimited access to Homework Help, a Homework+ subscription is required.

Unlock all answers

Get 1 free homework help answer.
Already have an account? Log in
Share
Avatar image
Read by 1 person
Already have an account? Log in
Share

Related textbook solutions

Principles of Economics
2nd Edition, 2017
Openstax
ISBN: 9781947172364
Principles of Macroeconomics
2 Edition,
Openstax
ISBN: 9781947172388
Principles of Microeconomics
2 Edition,
Openstax
ISBN: 9781947172340

Related questions

Assume that demand for a commodity is represented by the equation P = 10 - 0.2Q and supply by the equation P = 2+ 0.2Q where P is price and Q is quantity. What is the equilibrium price and equilibrium quantity? Graph the supply and demand curves and show in the graph the equilibrium price and quantity.

A monopolist faces the following demand curve: P = 140 - 0.3Q, its total cost is given by: TC = 300 + 0.2Q^2 and its marginal cost is given by: MC = 0.4Q.

(a) If it is a single-price monopolist, what is its profit-maximizing price and quantity? Show your work. How much is the profit? How much are consumer surplus and producer surplus?

(b) Suppose it is a first-degree price discriminator instead of a single price monopolist. What is the lowest price that the monopolist will charge? How much will be the profit (loss) of the firm? Show your work. How much are consumer surplus and producer surplus?

Demand is given by: Qd = 6000 - 50P, Domestic supply is: Qs = 2*P, and Foreign producers can supply any quantity at a price of $40. Calculate each the following:


a. If foreign producers cannot sell in the domestic market, what is the equilibrium price? Quantity? Revenue?

b. If foreign producers can sell in the domestic market, what is the equilibrium price? What is the equilibrium quantity? How much is sold by domestic and foreign producers, respectively? What is the revenue for domestic and foreign producers, respectively?


c. Under domestic government pressure, foreign producers voluntarily agree to restrict their goods. Relative to (b): What will happen to the price and quantity? What will happen to the amount that domestic producers supply? What will happen to revenues of domestic and foreign producers?

Weekly leaderboard

Home
Homework Help 3,900,000
Economics 400,000
Start filling in the gaps now
Log in