Suppose the demand and supply functions for product X are as follows: QXD=100-.5PX-.2PC+.8PS+.0005Y+.0004A QXS=25+.5PX where, PC is the price of product C, which is currently $25; PS is the price of product S, which is currently $80; Y is the level of per capita income, which is currently $20,000; and A is monthly advertising, which is currently $15,000. What is the equilibrium market quantity of product X? Select one: a. 75 units b. 100 units c. 150 units d. 175 units e. 125 units
Suppose the demand and supply functions for product X are as follows: QXD=100-.5PX-.2PC+.8PS+.0005Y+.0004A QXS=25+.5PX where, PC is the price of product C, which is currently $25; PS is the price of product S, which is currently $80; Y is the level of per capita income, which is currently $20,000; and A is monthly advertising, which is currently $15,000. What is the equilibrium market quantity of product X? Select one: a. 75 units b. 100 units c. 150 units d. 175 units e. 125 units
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Suppose the demand and supply functions for product X are as follows:
QXD=100-.5PX-.2PC+.8PS+.0005Y+.0004A
QXS=25+.5PX
where, PC is the price of product C, which is currently $25;
PS is the price of product S, which is currently $80;
Y is the level of per capita income, which is currently $20,000; and
A is monthly advertising, which is currently $15,000.
What is the equilibrium market quantity of product X?
Select one:
a.
75 units
b.
100 units
c.
150 units
d.
175 units
e.
125 units
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