2. Suppose the market demand and supply for pizza is given by the following: Qa- 300 - 20P Q,- 20P - 100 a Graph the supply and demand schedules for pizza using $5 through $15 as the value of P. b. In equilibrium, how many pizzas would be sold and at what price? C. What would happen if suppliers set the price of pizza at $15? d. Suppose the price of hamburgers, a substitute for pizza, doubles. This leads to a double of the demand for pizza. Write the equation for the new market demand for pizza e. Find the new equilibrium price and quantity of pizza.

2. Suppose the market demand and supply for pizza is given by the following: Qa- 300 - 20P Q,- 20P - 100 a Graph the supply and demand schedules for pizza using $5 through $15 as the value of P. b. In equilibrium, how many pizzas would be sold and at what price? C. What would happen if suppliers set the price of pizza at $15? d. Suppose the price of hamburgers, a substitute for pizza, doubles. This leads to a double of the demand for pizza. Write the equation for the new market demand for pizza e. Find the new equilibrium price and quantity of pizza.

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter5: Markets In Motion And Price Controls

Section: Chapter Questions

Problem 10P

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