Question

Use the following information to answer the question below: The demand and supply curves are represented by the following equations: Qd=100-P and Qs=50+P . The equilibrium price is?

Answer 1

$Qd = Qs$

$100-P = 50+P$

$100-50 = P + P$

$50 = 2P$

$P = \frac{50}{2}$

$P = 25$

Equilibrium price $= 25$