To find Equilibrium price we need to equate demand and supply equation as,
Qd=Qs
1500-100p=100P
1500=200P
P = 1500/200= $7.5
33. Suppose that King Kanuta, whom you met in your workbook, demands that each of his...
Suppose that King Kanuta, whom you met in your workbook, demands that each of his subjects give him 2 coconuts for every coconut that they consume. The king puts all of the coconuts that he collects in a large pile and burns them. The supply of coconuts is given by S(p.) 100ps, where p, is the price received by suppliers. The demand for coconuts by the king's subjects is given by Díp) -6,000 100p4 where pa is the price paid...
Suppose that King Kanuta, whom you met in your workbook, demands that each of his subjects give him 2 coconuts for every coconut that they consume. The king puts all of the coconuts that he collects in a large pile and burns them. The supply of coconuts is given by S(ps) = 100ps, where ps is the price received by suppliers. The demand for coconuts by the king’s subjects is given by D(pd) = 6,000 – 100pd, where pd is...
Suppose that King Kanuta from Problem 11 demands that each of his subjects give him 4 coconuts for every coconut that they consume. The king puts all of the coconuts that he collects in a large pile and burns them. The supply of coconuts is given by S(ps) = 100ps, where ps is the price received by suppliers. The demand for coconuts by the king’s subjects is given by D(pd) = 10,400 - 100pd, where pd is the price paid...
Remember King Kanuta and his tropical island? The demand function for coconuts by his subjects on the island is D(p)1,200100p and the supply function is S(p)100p. The law used to be that any subject who consumed a coconut had to pay another coconut to the king. King Kanuta then ate all the coconuts he got. But now the king, apparently fed up with coconuts, decides to sell the coconuts that he collects in the local market at the going selling...