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Suppose the demand and supply curves for aproduct are given byQD 500 2PQS 100 3Pa. Graph the supply and demand curves.b. Find the equilibrium price and quantity.c. If the current price of the product is $100,what is the quantity supplied and the quantitydemanded? How would you describe this situation, and what would you expect to happen inthis market?d. If the current price of the product is $150,what is the quantity supplied and the quantitydemanded? How would you describe this situation, and what would you expect to happen inthis market?e. Suppose that demand changes to QD 600 2P.Find the new equilibrium price and quantity, andshow this on your graph.
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