Question 3: Suppose the demand for new and old apartments (together) is given by QD(P)=200- 0.1P. The supply curve for old apartments is Qs (P)=30+0.03P. The supply curve for newly built apartments is QsN(P)=20+0.02P. (a) Determine the equilibrium price P, and how many apartments are built. (b) Now suppose that the city government decides to control rents. That is, no landlord is allowed to ask for a rent that exceeds 600 Dollars. How many new apartments are being built now? Suppose that everyone who cannot find an apartment leaves the city. How many people will leave? (c) Now suppose that instead of rent control, the government chooses to subsidize the building of new apartments. That is, the government pays 400 Dollars to landlords of any newly built apartments. Thus, the supply of new apartment is now given by 20+0.02(P+400). Determine the new equilibrium price P. Determine how many new apartments are built now and compute the total subsidy paid by the city government

The demand and supply functions for good x and good y are given as: Q = 145-2Px + Py Q& = -45 + Px Q = 30 + Px - 2Py Q5 = -40 + 5Py where QP, Q, and P₁ denote the quantity demanded, quantity supplied, and price of good i = x and y, respectively. (a) Determine the equilibrium price and quantity for good x and good y. (b) Are these goods substitutes or complements? Justify your answer.

Consider the horizontal sum of the two demand curves P = 8- Q and P = 12- Q. When 8

If the number of buyers in a market increases from 25 to 75, you would expect the equilibrium price to _____ and the equilibrium quantity to _____, holding all else constant. Group of answer choices remain the same; remain the same decrease; decrease decrease; increase increase; increase increase; decrease

Let Qd = 30 - 6 P and Qs = 9 P be the demand and supply curves for soft drinks. Then the equilibrium combination in the market is: a. P* = 2; Q* = 18 b. P* = 2; Q* = 15 c. P* = 18; Q* = 2 d. P* = 10; Q* = 90

Suppose consumers will demand 40 units of a product when the price is RM12.75 per unit and 25 units when the price is RM18.75 each. Find: The demand function. i) ii) 1) iv) Price per unit when 37 units are demanded Quantity (units) demanded when the price is RM20.00. The equilibrium point if the supply equation is p = q - 0.75

An economist estimates that a market has a demand curve of the form P = 37- (1.23) Q and a supply curve of the form P = 1 + (0.984) Q. (See the curves graphed in the figure below.) Accordingly, she estimates that the quantity equilibrium (Qe) in this market will be 16.26 (or 16.260163) and that the equilibrium price (Pe) in the market will be. (Answer may be rounded to nearest hundredth.) Supply X Demand Q OA. $20.84 O B. $12.20 O C. $23.00 O D. $17

If both supply and demand decrease, the equilibrium price A) does not change. B) cannot be predicted. C) rises. D) falls.

Assume that the supply and demand equations for 1-shirts at store A and 2 in a particular week are. = .7q+ 3 offer p= - 1.7q + 15 Demand Determine the equilibrium quantity and price that stabilizes the T-shirt market. (1) (4$5.5) (2) (7, $8) (3)($9.5) (4) (5, $6.5)

Above is the demand schedule for tickets to a Carnegie Hall performance of the Grateful Dead. Carnegie Hall seats 1,800 people.   What is the equilibrium price and quantity for a concert of the Grateful Dead at Carnegie Hall?   If tickets were sold for $18, what would happen (be specific)?