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The inverse demand and supply functions for a product are given as:
where P is price, Q is quantity and the subscripts d and show demand and supply, respectively. (a) Determine the equilibrium price and quantity.
(b) Using the definite integral, calculate the consumer and producer surpluses at the equilibrium position.
(c) Give your answers to part (a) and (b) on an appropriate diagram.
This problem refers to Doughtery's Educational Attainment and Earnings Functions (EAEF) data set, accessible through the course website. This data is a subset of the U.S. National
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estimate the determinants of demand of a firm or several firms within a particular industry or country
(a) Estimate how much more or less workers on average earn when they work for government as opposed to private sector, holding their characteristics constant. Interpret the finding
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