Recent Posts • Latest Topics • Unanswered Questions

The U.S. Department of Agriculture is interested in analyzing the domestic market for corn. The ...

Satsume

wrote...

Go to Answer

Posts: 761

Rep:

6 years ago

The U.S. Department of Agriculture is interested in analyzing the domestic market for corn. The ...

The U.S. Department of Agriculture is interested in analyzing the domestic market for corn. The USDA's staff economists estimate the following equations for the demand and supply curves:
   Qd = 1,600 - 125P
   Qs = 440 + 165P

Quantities are measured in millions of bushels; prices are measured in dollars per bushel.

a.   Calculate the equilibrium price and quantity that will prevail under a completely free market.
b.   Calculate the price elasticities of supply and demand at the equilibrium values.
c.   The government currently has a $4.50 bushel support price in place. What impact will this support price have on the market? Will the government be forced to purchase corn under a program that requires them to buy up any surpluses? If so, how much?

Textbook

Microeconomics

Edition: 8^th

Author: Pindyck

Read 241 times

3 Replies

Report

Replies

Answer verified by a subject expert

boransal

wrote...

Posts: 477

Rep:

6 years ago

More solutions for this book are available here

This verified answer contains over 150 words.

Report

Related Topics

Omar a.

wrote...

4 years ago

Thank you

Report

Omar a.

wrote...

4 years ago

THANK YOU

Report

New Topic

Quick Reply

Explore

Post your homework questions and get free online help from our incredible volunteers

1081 People Browsing

113 Signed Up Today

Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook

Live Chat

Related Images

197

975

833

Your Opinion

Previous poll results: What's your favorite math subject?

Bonobos, Chimpanzees, and the 98% DNA Link

The Toxic Skin and Fungi Defense

Strange Ingredients Lurking in Doritos Chips

Courses by Biology Forums

It's sore throat season, why does my mucus have red spots?

Ready to ask a question on Biology Forums? Try it out

Join Our Community

Biology Forums - Study Force is a free online homework help service catered towards college and high school students. Get homework help and answers to your toughest questions in biology, chemistry, physics, mathematics, engineering, accounting, business, humanities, and more. Master your assignments quickly with thousands of step-by-step solutions to countless textbook questions asked and answered by our members. If we don't have your question, don't worry. You can ask any homework question and get expert homework help in as little as two hours.

Our extensive online study community is made up of college and high school students, teachers, professors, parents and subject enthusiasts who contribute to our vast collection of study resources: textbook solutions, study guides, practice tests, practice problems, lecture notes, equation sheets and more. With our help, your homework will never be the same!

Join for free today

How is Biology Forums - Study Force different than tutoring?

Home Search Q & A Board Gallery Resource Library Blog Dictionary Chat	Quick Links Start a Topic Latest Topics Unanswered Questions Courses Study Tools Browse by Textbook	Social Facebook YouTube Community Stats Who's Online Trending Staff	Help About Us Take the Tour Study Tips Posting Guidelines Terms and Policies Contact Us
Biology Forums - Study Force © 2010-2024 \| Powered by SMF \| SMF © 2015, Simple Machines \| Sitemap Biology-Forums.com is not affiliated with any publisher. Book covers, title and author names appear for reference only.