The market demand curve for a perfectly competitive industry is QD = 15 - P. The market supply curve is QS = 5 + P. The market will be in equilibrium if

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In a market equilibrium, quantity demanded equals quantity supplied. Setting QD equal to QS gives 15 - P = 5 + P. Solving for P gives P = 5. Substituting P = 5 into either the demand or supply equation gives Q = 10.

The Market Demand Curve for a Perfectly Competitive Industry Is