3. Please, try to solve the following exercise: Let suppose the market demand curve for a product?

... is given by:

Qd = 3000 −20*P

and the market supply curve is given by

Qs = −1000 + 30*P

a. What are the equilibrium price and quantity?
b. At the market equilibrium, what is the price elasticity of demand?
c. Suppose the price in this market is $40. What is the amount of excess of demand with respect to the supply?