(Solved): Using the original elasticities of demand and supply (i.e., ES=1.5 and ED=0.5 ), calculate ...

Using the original elasticities of demand and supply (i.e., $E_S=1.5$ and $E_D=?0.5$ ), calculate the effect of a 40-percent increase in copper demand on the price of copper. Recall that the demand equation is $Q=27?3P$, the supply equation is $Q=?9+9P$, the initial equilibrium price is $P^{?}=\$3.00$ (dollars per pound), and the initial equilibrium quantity is $Q^{?}=18$ (million metric tons per year). As a result of this change in demand, the price of copper will by $\$.55$. (Enter your response rounded to two decimal places.) Now calculate the effect of this change in demand on the equilibrium quantity, $Q^{?}$. As a result of this change in demand, the equilibrium quantity will by million metric tons per year. (Enter your response rounded to two decimal places.) As wediscussed in Example 2.8, the U.S. production of copper declined between 2000 and 2003. Calculate the effect of both a 40-percent increase in copper demand (as you did above) and a 15 -percent decline in copper supply. Note: use the initial equilibrium values for $P^{?}(=\$3.00)$ and $Q^{?}(=$ 18 million metric tons) when calculating the changes below. As a result of both of these changes, the equilibrium price of copper will by $\$$ (Enter your response rounded to two decimal places.)