EBK MICROECONOMICS
EBK MICROECONOMICS
5th Edition
ISBN: 9781118883228
Author: David
Publisher: YUZU
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Chapter 1, Problem 1.9P
To determine

Equilibrium price and equilibrium quantity.

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Suppose the demand equation for shale gas is Qd=10P^-1.8 and the supply equations Qs=2P^0.2What is the equilibrium price and equilibrium quantity?
Which of the following is true of any market?  a. The interaction of demand and supply determines the price and quantity in that market.  b. There must be a supply of the item but not necessarily a demand for the item.  c. Demand and supply are always equal for an item.  d. There must be a demand for the item but not necessarily a supply of the item.  e. The market will always be in equilibrium
An economist estimates that a market has a demand curve of the form P = 26 - (0.867) Q and a supply curve of the form P = 0.5 + (1.21) Q. (See the curves graphed in the figure below.) Accordingly, she estimates that the equilibrium price ( P e) in the market will be $15.36 (or $15.355561). This means that the amount of the product bought and sold in the market must be ____.
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