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Chapter 1, Problem 30A

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QUESTION:

Problem 30A

Supply and Demand Let the supply and demand functions for sugar be given by

p = S(q) = 1.4q − 0.6 and

p = D(q) = −2q + 3.2,

where p is the price per pound and q is the quantity in thousands of pounds.

a. Graph these on the same axes.

b. Find the equilibrium quantity and the equilibrium price.

Questions & Answers

QUESTION:

Problem 30A

Supply and Demand Let the supply and demand functions for sugar be given by

p = S(q) = 1.4q − 0.6 and

p = D(q) = −2q + 3.2,

where p is the price per pound and q is the quantity in thousands of pounds.

a. Graph these on the same axes.

b. Find the equilibrium quantity and the equilibrium price.

ANSWER:

Solution:-

Step 1 of 3

Given that

a. We have to draw a graph these on the same axes.

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