Let Qd = 10 - 2 P and Qs = 3 P be the demand and supply curves for Beer. Then the equilibrium combination in the market is:

Question

Quizplus · Accepted Answer

To find the equilibrium combination, we need to set Qd = Qs and solve for P and Q: 10 - 2P = 3P 5P = 10 P = 2 Now that we know P = 2, we can substitute that value back into either Qd or Qs to find Q: Qd = 10 - 2(2) = 6 Qs = 3(2) = 6 Therefore, the equilibrium combination is (P, Q) = (2, 6). Using this information, we can check which answer choice matches: P^* = 2(6) = 12 Q^* = 3(2) = 6 So the only answer choice that matches is C: P^* = 2; Q^* = 6.