HOMEWORK SYSTEM IS IN BETA AND ANSWERS PROVIDED BY SYSTEM IS

HOMEWORK SYSTEM IS IN BETA AND ANSWERS PROVIDED BY SYSTEM IS NOT ALWAYS CORRECT. USE PROVIDED ANSWER AS A GUIDE BUT DO NOT TAKE IT SERIOUSLY.

Pb =225-14.75Qb

Qb=225-pb/14.75

Substituting pb=24 we get Qb=13.62

Similarly pv=13.5+1.5Qv

Qv=13.5+pv/1.5 Note supply and price are positively related thus positive sign. Otherwise quantity will be negative which has no sense in economics

Qv=25

This shows supply>Demand. But only 13.62 will be demanded and only it will be traded