MB1= 12 – 1/2Q1
MB2=12- Q2
MC1 = 4 + 1/2Q
MC2= 4 + 1/4Q2
a. construct a market supply and demand functions.
b. construct a graph of market supply and demand
c. Find equilibrium price and quantity. How much wine does each producer sell and each consumer buy?
d. if the two residents also had these same marginal benefit equation from their local park (public good), what would the social marginal benefit be?
