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[Solved]: Q = 30 2P + 3PS 4PC + 0.1Y Q = 8 + 2P 0.5PI whe
Home / Expert Answers / Economics / q-30-2p-3ps-4pc-0-1y-q-8-2p-0-5pi-where-ps-4-pc-3-y-40-and-pi-4-use-pa928

(Solved): Q = 30 2P + 3PS 4PC + 0.1Y Q = 8 + 2P 0.5PI where PS = 4, PC = 3, Y = 40, and PI = 4 Use ...



Q = 30 ? 2P + 3PS ? 4PC + 0.1Y Q = 8 + 2P ? 0.5PI where PS = 4, PC = 3, Y = 40, and PI = 4 Use the above equations and values of the variables to solve the following problems: a) Solve for the equilibrium price and quantity b) Draw a graph of the market. Be sure to label the supply curve with an S, label the demand curve with a D, properly calculate the y-intercept of the demand curve and the y-intercept of the supply curve, and use the calculated equilibrium from part a to label the equilibrium in the graph c) At P = $9 calculate QD, QS, state whether there is a surplus or shortage, and calculate the amount of the surplus or shortage. d) Calculate the price elasticity of demand at the equilibrium.



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