The World Demand for Power Transmission Wire Is Made Up

Essay

The world demand for power transmission wire is made up of both domestic and foreign demands. Thus, the total demand is the sum of the two sub-demands, which are given as:
Domestic demand: P_d = 5 - 0.005Q_d
Foreign demand: P_f = 3 - 0.00075Q_f,
where P_d and P_f are in dollars per pound, and Q_d and Q_f are in pounds per day.
a. Determine the world demand for power transmission wire.
b. Determine the prices at which domestic and foreign buyers would enter the market.
c. Determine the domestic and foreign quantities at per pound. Check to see if the sum of Q_d and Q_f equals Q.
d. Determine total rate of purchases at per pound.