The demand and supply equations are Qd = 100 – 10P and Qs = 30 + 5P. Compute for the
Price equilibrium and quantity equilibrium.
Qs=QdQ_s= Q_dQs=Qd
100−10P=30+5P100-10P= 30+5P100−10P=30+5P
15P=7015P= 7015P=70
P=4.67P= 4.67P=4.67
Q∗=100−10(7015)Q*= 100- 10(\frac{70}{15})Q∗=100−10(1570)
=(1500−700)15=80015= \frac{(1500-700)}{15}= \frac {800}{15}=15(1500−700)=15800
= 53.3353.3353.33
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