Consider a perfectly competitive market with demand curve given by p = 602QD. If the market supply curve is given by p = 3Qs, which of the following restrictions will prevent the market from reaching equilibrium? (check all that apply) a price ceiling set at $12 a price ceiling set at $40 a price floor set at $10 a price floor set at $40
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- Market Equilibrium A retail chain will buy 800 televisions if the price is $350 each and 1200 if the priceis $300. A wholesaler will supply 700 of these televisions at $280 each and 1400 at $385 each. Assumingthat the supply and demand functions are linear, findthe market equilibrium point and explain what itmeans.At a price of x dollars, the supply function for a music player is q = 75e0.002, where q is in thousands of units. How many music players will be supplied at a price of 300? (Round to the nearest thousand.) thousand units Find the marginal supply Marginal supply(x) = Which is the best interpretation of the derivative? O The rate of change of the price as the quantity supplied increases The quantity supplied if the price increases O The rate of change of the quantity supplied as the price increases O The price at a given supply of units O The number of units that will be demanded at a given priceGIVEN INFORMATION: Think about Anteaterville's highly competitive smoothie market. Q is the quantity (measured in the number of smoothies) and p is the price, and the supply of smoothies is given by Q = 200p and the demand for smoothies is given by Q = 1200p - 100p (measured in dollars). The equilibrium quantity in this market is 800 smoothies. The equilibrium price in this market is $ 4 per smoothie. (Please enter only numbers in the boxes, and round to the nearest whole number if necessary.) PLEASE SOLVE: Remember the perfectly competitive smoothie market from the previous question? At the competitive equilibrium you derived in previous question (and assuming there are no market failures in the smoothie market), the producer surplus in the smoothie market is $______ , the consumer surplus is $______ , the total surplus is $______ , and the deadweight loss is $________ . (Please enter only numbers in the boxes, and round to the nearest whole number if necessary.)
- CHAPTER 21. The inverse demand curve for product X is given by:a. PX = 25 - 0.005Q + 0.15PY,where PX represents price in dollars per unit, Q represents rate of sales in poundsper week, and PY represents selling price of another product Y in dollars perunit. The inverse supply curve of product X is given by: PX = 5 + 0.004Q.b. Determine the equilibrium price and sales of X. Let PY = $10.c. Determine whether X and Y are substitutes or complements.2. Suppose the cable TV industry is currently unregulated. However, due to complaintsfrom consumers that the price of cable TV is too high, the legislature is consideringplacing a price ceiling on cable TV below the current equilibrium price. Assuming thegovernment does make this price ceiling law, please construct a diagram that shows theimpact of this law on the cable TV market, and please briefly explain the effects onmarket prices and quantities with supply and demand analysis. Also, if the cable TVcompany is worried about disgruntling…a) Draw a graph with supply and demand curves that intersect and establish a market equilibrium price of $10 per unit and equilibrium market quantity of 100 units. Be sure to label your graph completely.Price 0 E G B 4 52 D₁ S₁ 1 Quantity Refer to Figure 3-8. The graph in this figure illustrates an initial competitive equilibrium in the market for motorcycles at the intersection of D2 and S1 (point C). If the price of motorcycle side cars (a complement to motorcycles) decreases, and the wages of motorcycle workers increase, how will the equilibrium point change?
- The diagrams below depict the computer market with fixed prices (graph a) and flexible prices (graph b), where DL corresponds to a low level of demand for computers, DM Corresponds to a medium level of demand for computers, and DH corresponds to a high level of demand for computers. Suppose a firm is currently producing 900 computers per week and charging a price of $1,200 per computer. Flexible Prices (b) Fixed Prices (a) $1,400 C' $1,200 B DH B' $1,200 DH $900 DM DM DL 900 DL 700 900 1,150 Computers per week Computers per week of demand to of a. Suppose there is a negative demand shock, and demand unexpectedly falls from a medium demand. Assuming fixed prices, what will happen to the firm's inventory of computers? O The firm's inventories will not change. O The firm's inventories will increase by 250 computers per week. O The firm's inventories will increase by 200 computers per week. O The firm's inventories will decrease by 150 computers per week. b. Now suppose prices are…Consider any market where the Supply Curve is given by O = 25 + 0.2P and the Demand curve is given by 500-0.3P Ask: a) Calculate prices and equilibrium quantity of this market b) Consider that this market operates with prices equal to 900.00. What's happening? c) Regarding the result found in (b), consider the impacts of a change in the supply curve to O = 50+0.2P. Discuss the results and plot the fit graphs on the supply curves.Describe the market for smartphones and illustrate how equilibrium price and quantity determined in this industry.
- The market for paperback detective novels is perfectly competitive. Suppose we have identical book readers, and each individual book reader's demand for paperback novels is given by P=130-7Q. We have 160 book readers in the market. What is the market quantity demanded when the price of a paperback novel is $21. Enter a number only. Remember, fractions of goods are possible.The demand and the supply of timber for construction in Australia are given by Q=100 - 20P Qs = 5P We assume the market is perfectly competitive. 2.1. Compute the equilibrium price PCE and quantity QCE.2.2. Plot on a graph: the demand curve, the supply curve, and the equilibrium price and quantity.2.3: Calculate the price elasticity of demand and price elasticity of supply at the equilibrium price and quantity.2.4. Calculate the producer surplus and consumer surplus in the equilibrium and illustrate them in a graph.2.5. Suppose there are many construction companies collapsed (and left the market), use a demand and supply graph to explain how the collapse affects the equilibrium price and quantity.2.6. Consider the setup in 2.1-2.4, and suppose there is a strike of loggers, which change the supply toQs = 4P. Calculate the new equilibrium quantity and use a demand and supply graph to explain how the strike affects the equilibrium price and quantity. 2.7. Calculate the change in the…# For a firm, the supply curve is given to be as:- 2P - 30 = Q And the demand curve is give to be as:- 15 - P = Q Calculate the equilibrium price and equilibrium Quantity
