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2005-11-02
The price elasticity of demand for a certain agricultural product is constant (over the
relevant range of prices) and equal to   2:50. The supply elasticity for this product is constant and
equal to 4. Originally the equilibrium price of this good was 50 per unit. Then it was discovered
that consumption of this product was unhealthy. The quantity that would be demanded at any
price fell by 52%. The percent change in the long run equilibrium consumption of this good was:
(a)   52%.
(b)   32%.
(c)   8%.
(d)   36%.
(e) There is not enough information to determine the answer.
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2005-11-25 11:25:00

由于需求及供给的价格弹性为常数,故设需求函数为:lnQd=A-2.5lnP

供给函数为:lnQs=B+4lnP

在P=50时,A-2.5ln50=B+4ln50 ,A-B=6.5ln50

变动后的需求函数变成: lnQ*d=ln48%Qd=ln0.48+A-2.5lnP, 供给函数不变,求得新的均衡价格为lnP*=(1/6.5)*ln0.48+ln50. 均衡产量变化为lnQ*-lnQ=(4/6.5)*ln0.48, 用EXCEL计算得(Q*-Q)/Q=36%

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