SetLet S and D be the supply and demand functions, respectively, for a particular item; also let these be functions of price as follows: S(p)= -1000 + 2500p, D(p)=9000 - 2000p. The equilibrium price is that price at which supply and demand (S=D).
(a). Find the equilibrium price p.
(b). Find the equilibrium price quantity, S or D.
(c). Determine the prices for which quantity demanded is less than quantity supplied.
Here's what I got:
-1000 + 2500p = 9000 - 2000p
p= 2.22222 (repeating)
So I put in 2.2 for S and got 4500 and then 2.2 for D and got 4600. Shouldn't they be the same?
I'm confused as to what to do next