(Advanced analysis) The demand for commodity X is represented by the equation P = 100 - 2Q and supply by the equation P = 10 + 4Q. If demand changed from P = 100 - 2Q to P = 130 - Q, the new
Equilibrium price is

Question

Quizplus · Accepted Answer

To find the equilibrium price, set the new demand equation equal to the supply equation: 130 - Q = 10 + 4Q. Solving for Q gives Q = 24. Substitute Q = 24 into either equation to find the equilibrium price: P = 10 + 4(24) = 106.

(Advanced Analysis) the Demand for Commodity X Is Represented by the Equation