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Price Supply Equations and Equillibrium

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For a farm commodity, rye grain in 2002, the price-demand and price supply equations are given by:

price - demand equation p= -0.01x + 26.38
price - supply equation p= 0.005x - 9.02

where price is dollars per bushel, and x is in billions of bushels.

a. find the quantity of grain supplied at equilibrium.
b. Find the price per bushel at equilibrium.

We are using a very poorly written textbook (Math with Applications 9th ed) and it gives very few examples without showing the work, so I do not understand how to even find the equilibrium. My book just shows me a graph and I do not even know how to plug the equation in to a calculator to find a graph. Please help me find the solutions.

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Solution Summary

Given the price-demand and price supply equations find the equilibrium quantities.

Solution Preview

Equilibirum means that demand = supply. You could draw the demand graph and the supply graph and see where they ...

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