Question

Find the equilibrium point for the demand and supply function D(p)=79-8p and S(p)=37+6p

Answer 1

so, how do we determine when supply equals demand?

Answer 2

D(p) = S(p) is the equilibrium point

D(p) - S(p) = 0 ; and solve for p

Answer 3

im confused. how would i find p?

Answer 4

by subtracting the value of S(p) from D(p) .. i thought i wrote that?

Answer 5

D(p)= 79-8p
-S(p)=-(37 +6p)
----------------
0 = 42 - 2p

then solve for p

Answer 6

the website crashed for a few minutes... that might have not been placed in time

Answer 7

wouldnt it be 0=42 -14p?

Answer 8

that would be 3 but would i put the answer as (3,0) ?

Answer 9

you are correct; 42 -14p

Answer 10

42/14 = 21/7 = 3

the market equilibrium price would be 3 (m,k,b, or other unit) price. the quantity supplied is then whatever we get when we plug "3" into the supply equation

Answer 11

S(p) = 37+6p

S(3) = 37+6(3)
= 37+18
= 56

Answer 12

(3,56) if that is the format they want, but of that i cant be sure