The Demand equations of the two consumers are given as $\left.\begin{array}{l} Where d is the demand and p is the price Calculate the market demand when price is ₹2 |
6 4 20 10 |
10 |
To find the market demand, you need to add the individual demands of the two consumers at the given price. Given demand equations: d1(p)=10−2p d2(p)=20−8p To find the market demand (D(p)), you add d1(p) and d2(p): D(p)=d1(p)+d2(p) D(p)=(10−2p)+(20−8p) D(p)=10−2p+20−8p D(p)=30−10p Now, substitute p=2 into the equation to find the market demand at the price of ₹2: D(2)=30−10(2) D(2)=30−20 D(2)=10 |