Suppose demand and supply are given by Q^d =50 -P and Q^s=1/2P-10.
a.) What are the equilibrium quantity and price in this market?
b.) Determine the quantity demanded, the quantity supplied, and the magnitude of the surplus if a price floor of $42 is imposed in this market.
c.) Determine the quantity demanded,the quantity supplied, and the magnitude of the shortage if a pride ceiling of $30 is imposed in this market. Also, determine the full economic price paid by consumers.