Residents in the city of Econoville enjoy only two types of recreational activities. The activities are biking and attending concerts. The supply of concert tickets is:
= 60,000. The demand for concert tickets is:
= 90,000 - 1,000 P_C + P_B. The supply of biking trail permits is set at:
= 150,000. The demand for biking trail permits is
= 250,000 - 1,000 P_B + 20 P_C. Determine the general equilibrium prices and quantities for the two recreational activities.

Question

Residents in the city of Econoville enjoy only two types of recreational activities. The activities are biking and attending concerts. The supply of concert tickets is:

= 60,000. The demand for concert tickets is:

= 90,000 - 1,000 P_C + P_B. The supply of biking trail permits is set at:

= 150,000. The demand for biking trail permits is

= 250,000 - 1,000 P_B + 20 P_C. Determine the general equilibrium prices and quantities for the two recreational activities.

Quizplus · Accepted Answer

The Answer of Residents in the city of Econoville enjoy only two types of recreational activities. The activities are biking and attending concerts. The supply of concert tickets is: = 60,000. The demand for concert tickets is: = 90,000 - 1,000 P_C + P_B. The supply of biking trail permits is set at: = 150,000. The demand for biking trail permits is = 250,000 - 1,000 P_B + 20 P_C. Determine the general equilibrium prices and quantities for the two recreational activities.

Residents in the City of Econoville Enjoy Only Two Types