Suppose you can write generic supply and demand curves such that $\mathrm { Q } _ { \mathrm { S } } = \mathrm { A } + \mathrm { BP }$ and $Q _ { D } = D + C P$ .Equilibrium quantity is then given by.
A) $A C - B D$
B) $\frac { A C - B D } { C - B }$
C) $C - B$
D) $B$

Question

Quizplus · Accepted Answer

Equilibrium occurs at the point where supply and demand intersect, meaning the quantity supplied equals the quantity demanded. Substituting the expressions for Qs and Qd, we get:
A + BP = D + CP
Solving for P, we get:
P = (D - A)/(B - C)
Substituting this value of P back into either Qs or Qd equation, we get the equilibrium quantity:
Q = A + B[(D - A)/(B - C)] or Q = D + C[(D - A)/(B - C)]
Simplifying either of these equations, we get:
Q = (AC - BD)/(C - B)
Therefore, the correct answer is B.

Suppose You Can Write Generic Supply and Demand Curves Such QS=A+BP\mathrm { Q } _ { \mathrm { S } } = \mathrm { A } + \mathrm { BP }QS​=A+BP

Suppose You Can Write Generic Supply and Demand Curves Such $\mathrm { Q } _ { \mathrm { S } } = \mathrm { A } + \mathrm { BP }$