Re: Daily question

Posted by Aastha on Feb 28, 2009; 6:01pm
URL: http://discussion-forum.276.s1.nabble.com/Daily-question-tp2328964p2401528.html

Ans 2) equillibrium quantity is 6 apples, equillibrium price Rs.8

market demand will be the horizontal summation of the individual demand curves.
therefore addind demand's of A & B we get the market demand as: P= 50- 3q/4
 
market supply is given by: P=2+Q
 
At equillibrium Q=q therefore equating market demand and market supply we get
50-3q/4=Q+2; 50-3q= 4Q+8 ; 42=7Q
therefore Q= 42/7=6 apples
 
P= 2+6=Rs.8