ZuoTi.Pro
Question

Question 3 (32 marks) a Suppose the market for grapefruit is perfectly competitive. The y market demand function and market s

business   economics   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

A) qd=qs

4200-15p=5p-400

-15p-5p=-400-4200

20p=4600

P=230

Qd=4200-15p

4200-15(230)

750

Qs=5p-400

750

0 0
Add a comment
Know the answer?
Add Answer to:
Question 3 (32 marks) a Suppose the market for grapefruit is perfectly competitive. The y market...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • Question 3 (32 marks) a The market of popcom is perfectly competitive. The market demand curve...

    Question 3 (32 marks) a The market of popcom is perfectly competitive. The market demand curve and supply curve are as follows: Demand: Qp = 2000-P Supply: 2 = 1400 +2P Firm K is one of the many firms producing popcorn in the market. The total cost function and marginal cost function are as follows: TC(q) =1250 +30 +29 MC(q) - 30 +49 i At what output level (g) would the average total cost be minimized? (6 marks) ii What...

  • The wheat market is perfectly competitive, and the market supply and demand curves are given by the following equations:

    The wheat market is perfectly competitive, and the market supply and demand curves are given by the following equations: QD = 20,000,000 - 4,000,000P QS = 7,000,000 + 2,500,000P, where QD and QS are quantity demanded and quantity supplied measured in bushels, and P = price per bushel. a. Determine consumer surplus at the equilibrium price and quantity. b. Assume that the government has imposed a price floor at $2.25 per bushel and agrees to buy any resulting excess supply. How many bushels of wheat...

  • Consider a perfectly competitive market where Demand is described as Qd 100-2P. a. If the market...

    Consider a perfectly competitive market where Demand is described as Qd 100-2P. a. If the market price is 10, how many units are consumed in the market? What is the consumer surplus in the market? b. Suppose the market Supply is described as Qs 10 P. What is the equilibrium price in the market? Quantity? C. Suppose the market Supply is described as Qs 10+ P. What is the excess quantity supplied in the market at P demanded in the...

  • The perfectly competitive firm and market in the short run Consider a perfectly competitive market where...

    The perfectly competitive firm and market in the short run Consider a perfectly competitive market where demand is QD = 2,000 - 40P and quantity is measured in units while price is measured in dollars per unit. The long run supply is QS = 100P - 800. a) Find the equilibrium price and the equilibrium quantity. b) When the market is in equilibrium, what is the total expenditure in this market? c) When the market is in equilibrium, what is...

  • Question 5 Consider the market for rice, which is perfectly competitive. Aggregate supply and demand are...

    Question 5 Consider the market for rice, which is perfectly competitive. Aggregate supply and demand are respectively given by Qs -5P 20 and 120-2P, (a) Find the (short-run) equilibrium price and quantity in this market. (6 marks) If the government imposes a tax of S10 per unit sold in this market. Find the quantity sold after the tax is imposed. (b) (7 marks) (c) Compute the deadweight loss imposed by the tax. (7 marks)

  • Suppose the private market for apartments is perfectly competitive with no distortions or market failures. The...

    Suppose the private market for apartments is perfectly competitive with no distortions or market failures. The government is contemplating a project to build 200 apartments. Existing analysis indicates that the current market demand for apartments is given as: Qd =5000 −5P and the market supply is: Qs =5P . Quantity is measured as the number of apartments rented per month at price P. You are part of a team hired by the government to undertake a cost-benefit analysis of the...

  • (2) 5 Marks Assume a perfectly competitive market where quantities must be integers and supply and...

    (2) 5 Marks Assume a perfectly competitive market where quantities must be integers and supply and demand schedules are depicted in the following table Q 1 2 3 4 7 $8 MWTP $21 $18 $16 $14 $12 $10 $5 $8 $10 $12 $14 $16 $18 МС TFU: If the equilibrium price without government intervention is $13, then a $11 increases consumer surplus by $5. price ceiling at (2) 5 Marks Assume a perfectly competitive market where quantities must be integers...

  • Question 2 (20 marks) Consider the market for gasoline, which is perfectly competitive. Each firm in...

    Question 2 (20 marks) Consider the market for gasoline, which is perfectly competitive. Each firm in the industry produces gasoline with the same technology and has cost function: c(a) 200+5q+1/2xq. bach consumer has demand for gasoline given by g (p) 10-0.1p where p is the price of gasoline. All consumers have identical demand functions (a) Find the short-run supply curve for a typical firm. (5 marks) (b) Suppose there are 10 firms in the market. Find the short-run aggregate supply...

  • 4) Consider the following perfectly competitive market for board games: (Do NOT round values.) (2...

    4) Consider the following perfectly competitive market for board games: (Do NOT round values.) (22 marks) Q-204P Qd-300 - P a) Calculate initial equilibrium supply and demand. b) Calculate consumer and producer surplus. Show graphically c) Realizing that board games are awesome, the government creates a $50 price ceiling. Recalculate new equilibrium quantities. Show graphically d) Calculate consumer surplus, producer surplus, and deadweight loss for the worst case scenario. Show graphically 4) Consider the following perfectly competitive market for board...

  • 10.19. In a perfectly competitive market, the market demand curve is Qd = 10 -p, and...

    10.19. In a perfectly competitive market, the market demand curve is Qd = 10 -p, and the market supply curve is Q 1.5P a) Verify that the market equilibrium price and quantity in the absence of government intervention are Pd= P 4 and Qd Q 6. b) Consider two possible government interventions: (1)A price ceiling of $I per unit; (2) a subsidy of $5 per unit paid to producers. Verify that the equilibrium market price paid by consumers under the...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT