Question

An economist believes there is a linear relationship betweem the market price of a particularvcommodityvand the number of unit suppliers​

Answer 1

If price p is plotted on the horizontal axis and the quantity supplied q is on vertical axis then the graph will be a line passing through the points with coordinates (15;30000) and (20;48000).

ii)The equation of the line has the form: y=kx+by=kx+b were k=tan\alpha.k=tanα.

Find kk and bb from the system of equations

\begin{cases} 30000=15k+b\\ 48000=20k+b \end{cases};{

30000=15k+b

48000=20k+b

;

\begin{cases} 48000=20k+b \\ 30000=15k+b \end{cases} -;{

48000=20k+b

30000=15k+b

−;

18000=5k;18000=5k;

k=3600;k=3600; tan\alpha=3600;tanα=3600;

30000=15\sdot3600+b \implies b=-24000;30000=15⋅3600+b⟹b=−24000;

q=3600p-24000 -q=3600p−24000− equation of this graph;

iii)If p=35p=35 $ then q=3600\sdot35-24000=102000q=3600⋅35−24000=102000 units;

Answer:If p=35 $ then 102000 units.