What is price elasticity of demand and supply

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Reference no: EM131240969

The demand for strawberry in Baltimore is Q=10-0.5Pd and the supply for strawberry is Q=0.5Ps in Pittsburg.

a. Derive the demand for transportation.

b. Find the equilibrium price (for both demand and supply) and quantity, if T=4.

c. What is the price elasticity of demand?

d. What is the price elasticity of supply?

e. What is the expenditure in equilibrium?

f. What would be the new equilibrium price and quantity if the demand changes to Q=15-0.5Pd

g. If the supply for transportation is Q=2+.75T, find the equilibrium for transportation

h. Now, find the equilibrium price and quantity for strawberry when transportation is in its equilibrium.

Reference no: EM131240969

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