Suppose the demand and supply curves for shampoo are given by
Q^D = 18 - 5P
Q^S = -3 + 2P
where Q^D is the quantity of shampoo demanded (in thousands of bottles), Q^S is the quantity supplied, and P is the price of shampoo (in dollars per bottle).
a. Calculate the equilibrium price and quantity.
b. Calculate the consumer surplus at the equilibrium price.

Question

Quizplus · Accepted Answer

The Answer of Suppose the demand and supply curves for shampoo are given by Q^D = 18 - 5P Q^S = -3 + 2P where Q^D is the quantity of shampoo demanded (in thousands of bottles), Q^S is the quantity supplied, and P is the price of shampoo (in dollars per bottle). a. Calculate the equilibrium price and quantity. b. Calculate the consumer surplus at the equilibrium price.

Suppose the Demand and Supply Curves for Shampoo Are Given