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# The equilibrium price and quantity under different circumstances

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The demand function for a good is QD = 30 − P, and the supply function is Qs = 4P.
(a) Find the equilibrium price and quantity for the good.
(b) Due to a natural disaster, the supply of the good decreased by half. What are the new equilibrium price and quantity?
(c) When there is no natural disaster, the demand for the good is increased to QD = 30 - 0.8P. What are the new equilibrium price and quantity?

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#### Solution Preview

The demand function for a good is QD = 30 − P, and the supply function is Qs = 4P.
(a) Find the equilibrium price and quantity for the good.
(b) Due to a natural disaster, the supply of the good decreased by half. What are the new equilibrium price and quantity?
(c) When there is no natural disaster, ...

#### Solution Summary

The solution explains the condition at the equilibrium and provides detailed steps of calculation.

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