Question

Market demand and market supply curves are given by the following equation below where P is the price and Q is the quantity: 

Market Demand: P = 125 – (3/8)Q 

Market Supply: P = 5 + (1/8)Q

Find the equilibrium price, quantity and consumer surplus.

(Hint: Y intercept of inverse demand function is willingness to pay i.e 125 in the above problem)....​

Answer 1

Hello !

125 – (3/8)Q = 5 + (1/8)Q

120 = (1/2)Q

Q = 240 kg

P = 5 + 240/8 = 35 NOK per kg of

So the equilibrium price and equilibrium quantity are P = 35

NOK per candy, Q = 240 kg

Hope It Helps u :)

Answer 2

Answer:

Its 240 okkk

hope the answer will help you...