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You have been hired by a new firm selling electronic dog feeders. Your client has asked you to gather some data on the supply and demand for the feeder, which is given below, and address several questions regarding the supply and demand for these feeders.
Price/Feeder
Quantity Demanded
Quantity Supplied
$300
500
1800
270
600
1700
240
700
1600
210
800
1500
180
1000
1400
150
1100
1300
120
1200
90
60
30
900
10
Your client has asked that you develop a report addressing the following questions so that you can present these findings to their Board of Directors:
Questions:
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Assume the rural wage is $1 each day. Urban modern sector employment can be obtained with .25 probability and pays $3 each day. The urban traditional sector pays forty cents each day.
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