A community for students.

Here's the question you clicked on:

55 members online
  • 0 replying
  • 0 viewing

anonymous

  • 5 years ago

For the given supply and demand equations, find the consumer surplus. Demand Supply P=100 - 0.05x P=25 + 0.1 x

  • This Question is Closed
  1. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    p= 100 -0.05x multiplying with 20 on both side , we get 20p=2000-x

  2. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    Why do you multiply with 20?

  3. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    to make the equation easier

  4. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    Ok I guess I don't understand were the 20 came from I thought you were suppossed to set the equations equal to eachother....

  5. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    then for the supply equation , we have to multiply it with 10 on both sides which wud be 10p=250+x

  6. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    ok

  7. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    solve for p and x p=75 and x=500

  8. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    alright

  9. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    because we are applyling tjhe equilibrium condition

  10. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    because we are applyling tjhe equilibrium condition

  11. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    so I got the p=75 and x=500 a different way but where do i go from there

  12. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    now we find the consumer surplus triangle area where height would be 100 -75

  13. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    25

  14. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    base would be quantity traded which is 25 from from the supply equation

  15. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    so 0.5*25*25=312.5

  16. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    uh ok so none of my answers that I can chose from match up with that...?

  17. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    I think this is the method.....sorry if its wrong

  18. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    A.$6,250 B.$12,500 C.$19,000 D.$25,000 E.$26,000

  19. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    Those are the answers I can chose from....

  20. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    lemme c it once again then

  21. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    For the given supply and demand equations, find the consumer surplus. Demand P=100 - 0.05x Supply P=25 + 0.1 x

  22. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    sorry it is 6250

  23. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    the base is not 25 its 500 right which is the quanity traded

  24. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    so 500*25*0.5=6250

  25. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    okay with that

  26. anonymous
    • 5 years ago
    Best Response
    You've already chosen the best response.
    Medals 0

    Okay that works thank you!

  27. Not the answer you are looking for?
    Search for more explanations.

    • Attachments:

Ask your own question

Sign Up
Find more explanations on OpenStudy
Privacy Policy

Your question is ready. Sign up for free to start getting answers.

spraguer (Moderator)
5 → View Detailed Profile

is replying to Can someone tell me what button the professor is hitting...

23

  • Teamwork 19 Teammate
  • Problem Solving 19 Hero
  • You have blocked this person.
  • ✔ You're a fan Checking fan status...

Thanks for being so helpful in mathematics. If you are getting quality help, make sure you spread the word about OpenStudy.

This is the testimonial you wrote.
You haven't written a testimonial for Owlfred.