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18 February, 04:31

Assume the U. S. is a small importing country in the market for flip-flops. It produces flip-flops domestically, and also imports them from the rest of the world, where the market price for flip-flops is $7 per pair. In the U. S., supply and demand equations for flip-flops are:

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Answers (2)
  1. 18 February, 05:56
    0
    Supply and Demand equations for flip-flops are:

    Q^s = 10Pus

    Q^d = 105 - 7Pus

    Where:

    Q^s & Q^d are the quantity of flip-flops supplied and demanded, respectively, in thousands of pairs per week;

    P is the price per pair of flip-flops.
  2. 18 February, 06:12
    0
    QS = 10PUS

    QD = 105 - 7PUS

    Explanation:

    The solution goes thus:

    Given the question above, the supply and demand equations for flip-flops are:

    QS = 10PUS

    QD = 105 - 7PUS

    Where:

    QS & QD represent the quantity of flip-flops supplied and quantity demanded, respectively, in thousands of pairs per week;

    Also, P represents the price per pair of flip-flops.
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