Recent Question/Assignment

Best friends Scott Baio and Willie Aames decide to open up a movie poster shop in downtown Los Angeles. The following relationships describe the supply and demand for movie posters:
Qd = 130,000 – 20,000P
Qs = -70,000 + 30,000P
Where Q is the quantity and P is the price of a movie poster in dollars.
(a) Complete the following table (4 points):
Price Qs Qd Qs - Qd Surplus/Shortage
$6.00
$5.50
$4.50
$4.00
$3.50
$3.00
$2.50

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