HIULIJ LUBIUUUUL ULICITAT Demand for a product is equal to 70 – 3P, where P is...

Question

Question

Answer 1

Answer #1

Demand = 70-3P
Supply = -26 + 9P
where, P = Price of a unit.

Equilibrium price is where supply equals demand.

Therefore, 70 - 3P = -26 + 9P

12P = 96

P = $8.

Equilibrium Price = $8
If we substitute this amount in any equation, we will get the equilibrium quantity.

Quantity = 70 - 3P = 70 - 3(8) = 46 units.

Equilibrium quantity = 46 units.

Answer 2

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