Lionfish is an aquatic invasive species in the southeastern U.S. and the Caribbean. Current removal policies focus on harvesting the lionfish for human consumption. However, a fishing license is required to fish in most southern states. Assume that the supply of fishing licenses is Qs = 50 + 0.05L + 40P, where L=lionfish population and P = price of a fishing license, and the demand for fishing

licenses is Qd = 1400 – 60P. What is the equilibrium price and quantity of fishing licenses when L = 10,000?

A) P = $8.5, Q = 890
B) P = $13, Q = 620
C) P = $13.5, Q = 590
D) P = $13.5, Q = 591

A

Economics

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