1 / 8

Practice Problems S and D.Jepsen

Practice Problems S and D.Jepsen. Exercise 6.- P = 40-2Q; P = Q. Step 1. - Convert the functions so that the dependent variable to be Q, being Qd the quantity demanded and Qs the quantity supplied . Qd = (40-P)/2; Qd = 20 -½P→Demand curve Qs = P→Supply curve.

lael
Download Presentation

Practice Problems S and D.Jepsen

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. PracticeProblems S and D.Jepsen Exercise 6.- P = 40-2Q; P = Q. Step 1.- Convertthefunctions so thatthedependent variable tobe Q, beingQdthequantitydemanded and Qsthequantitysupplied. Qd = (40-P)/2; Qd = 20 -½P→Demand curve Qs = P→Supply curve

  2. PracticeProblems S and D Jepsen Exercise 6.- P = 40-2Q; P = Q. Step 2.- Calculation of theequilibriumpricebysolvingtheequilibriumequation: Qd = Qs Substituting 20 -½P = P Solving 20 = P + ½P; 20 = 3P/2; P = 40/3 €

  3. PracticeProblems S and D Jepsen Exercise 6.- P = 40-2Q; P = Q. Step 3.- Calculation of theequilibriumquantitybysubstituting P oneitherfunctions: Qd = 20 -½P = 20 – ½·40/3 = 13.33 units Qs = 13.33 units

  4. PracticeProblems S and D Jepsen Exercise 6.- P = 40-2Q; P = Q. Step 4.- Graphicrepresentation of equilbriummarket. Demand and supplyschedule: Graph.- Wedrawthegraphontheboard.

  5. PracticeProblems S and D.Jepsen Exercise 7.- P = 30-Q; P = 2Q. Step 1.- Convertthefunctions so thatthedependent variable tobe Q, beingQdthequantitydemanded and Qsthequantitysupplied. Qd = 30-P→Demand curve Qs = ½P→Supply curve

  6. PracticeProblems S and D Jepsen Exercise 7.- P = 30-Q; P = 2Q. Step 2.- Calculation of theequilibriumpricebysolvingtheequilibriumequation: Qd = Qs Substituting 30-P = ½P Solving 30=3P/2; P = 30·2/3 =20 € Equilibriumprice: PE = 20 €

  7. PracticeProblems S and D Jepsen Exercise 7.- P = 30-Q; P = 2Q. Step 3.- Calculation of theequilibriumquantitybysubstituting P oneitherfunctions: Qd = 30-P= 30-20= 10units Qs = ½·20 = 10 units

  8. PracticeProblems S and D Jepsen Exercise 7.- P = 30-Q; P = 2Q. Step 4.- Graphicrepresentation of equilbriummarket. Demand and supplyschedule: Graph.- Wedrawthegraphontheboard.

More Related