Answered: 1. Let (inverse) demand be Pb = 110 - 4…

1. Let (inverse) demand be Pb = 110 - 4 Qb and (inverse) supply be Pv = 18 + 1 Qv. Consider the PRICE FLOOR (P_high) depicted, how much CONSUMER SURPLUS is there? Answer: your answer Submit

Micro Economics For Today

10th Edition

ISBN:9781337613064

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter3: Market Demand And Supply

Section3.A: Consumer Surplus, Proudcer Suplus, And Market Efficency

Problem 2SQ

See similar textbooks

Related questions

Q: Suppose that there is a perfectly competitive firm with the following cost data: Variable Cost…

A: Perfectly competitive market is a type of market in which there are many firms(seller) and consumer…

Q: A major proposed industry in the future is the provision of global satellite wifi. However, the…

A: Rather than a single dollar figure willingness is usually presented as a price range. It cab be…

Q: A series of natural disasters occurs that causes the following changes in the U.S. economy:…

A: The aggregate supply, also known as the real GDP, is the total amount of product that businesses…

Q: The table below shows the short run production function for Corey's Card Store. Number of workers 1…

A: Diminishing marginal returns: When the quantity of a single element of production is gradually…

Q: QUESTION 23 A worker who has completed five years of service shall, for each additional year of…

A: ***Since the student has posted multiple questions, the expert is required to solve the first…

Q: A company wants to purchase a new machine. The machine will cost $16,000 . It can bring $1300 of…

A: B-C ratio shows the benefit to cost ratio. This is calculated as : - B-C ratio = PW of benefit ÷…

Q: M1 and M2 are two measures of money supply. M1 includes only the most liquid forms of money like…

A: The money supply is the entire amount of money in circulation (cash, coins, and bank account…

Q: Discretionary government spending includes payments made for unemployment compensation. the…

A: Discretionary spending is the amount that the government decides to spend for the upcoming fiscal…

Q: A lobbyist arguing against a new regulation claims there is no market power in the phone industry…

A: If a firm's price is greater than the firm's marginal cost, means the firm has market power. Market…

Q: Assume that we are in a monopoly and demand curve is given by following expression: p(q) = 45 - q2…

A: Consumer surplus is the difference between the price that the consumer is willing to pay and the…

Q: The long run is defined by economists as being it depends on the industry 1-5 years greater…

A: The passage of time has a significant impact on how well the good is produced and how much is…

Q: As a response to high inflation, in March 2022, the Federal Reserve System (Fed) approved its first…

A: The Fed fund rate is the rate of lending and borrowing of the excess reserves which is also known as…

Q: 42 percent of all people working in the United States are baby boomers, how many were working in…

A: Total Population 155 million (Assuming) baby boomer (2008) = 42% of all worker retire after 10 years…

Q: A competitive firm charges a price of 50 PHP per output produced, given by Q = L0.25 K0.25. The…

A: 1) L= Maximize profit st the constraint Profit=Price*Output Profit=50Q Profit=50L0.25K0.25…

Q: Match the following scenarios to whether they refer to an expansionary or contractionary monetary…

A: Monetary policy is used to control the money supply in the economy. There are two types of monetary…

Q: In the year 2027, aggregate demand and aggregate supply in the imaginary country of Daisen-Oki are…

A: Aggregate demand is the total demand for goods and services in an economy at a given time period. It…

Q: Calculate the correlation coefficient for the following ordered pairs. 62 66 D r= 3 y 7 9 5 5 6…

Q: 4. Is monopolistic competition efficient? Suppose that a company operates in the monopolistically…

A: Monopolistic competition exists when many firms offer contending products or services that are…

Q: binding (effective) price floor will

A: Here the price floor is the minimum price that a producer should receive for its product. A binding…

Q: 6. A large number of new estate agents (with the same technology as existing firms) enter the…

A: perfect competition market is the structure of market where large numbers of buyers and sellers…

Q: corporate jet costs $1,350,000 and will incur $200,000 per year in maintenance costs. The jet can be…

A: DISCLAIMER “Since you have asked multiple questions, we will solve the first question for you. If…

Q: Draw a diagram for a perfectly competitive industry with firms earning normal profits in the long…

A: Perfectly competitive market is the one where there is homogeneous product prevailing in the market…

Q: Suppose the the demand for a product is given by Qd = 40 − 3P , and supply by Qs = 5 + 2P Suppose…

A: Disclaimer- “Since you have asked multiple questions, we will solve the first three questions for…

Q: In the real world we don't observe countries completely specializing in the production goods for…

A: Q 24. In international trade theory, it is stated that one country would engage in trade with…

Q: A price floor holds prices above the equilibrium price. If nothing else changes, there will:…

A: Price floor is the price set by the government which is minimum price that should be charged from…

Q: Question 5 An island nation of Santa Clara that grows coconuts consists of two islands: Leavey and…

A: Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…

Q: define the terms -Infaltion -depression -peak

A: Business cycles are cyclical changes in an economy's commercial activity. Business cycles are…

Q: If a monopolistically competitive industry is earning short-run positive economic profits, what do…

A: In a Monopolistically competitive market , Firms produces where MR = MC MR is the marginal revenue…

Q: If demand falls as a result of a change in tastes, it is likely that as a result: Selected answer…

A: price is reliant upon the communication between the demand and supply parts of a market. Request and…

Q: This characteristic of money is the most important for explaining how and why money keeps and…

A: Money is an item accepted by general consent as a mechanism of economic exchange. It is the medium…

Q: When assessing mutually exclusive alternatives using Present Worth Analysis, which…

A: A firm or a person when they are planning to invest their money they considers many alternatives.…

Q: 5. To advertise or not to advertise Suppose that two firms, Lucky Bird and Full Coop, are the only…

A: Above game in case both firms compete is an example of prisoner's dilemma

Q: Depreciation can be regarded as all the following except a. An accounting concept b.…

A: A tangible item's cost may be spread out over the period of its usual useful life using the…

Q: Generally, the study of economics has to do with Question 24 options: How resources are not…

A: Economics is classified as a social science because it makes an effort to apply scientific methods…

Q: Regarding a supply and demand model, what would happen to the equilibrium price and quantity if the…

A: In the demand and supply model, the equilibrium would be achieved when the demand and supply curve…

Q: To produce one more yard of X , you need 1/MPLCx hours of labor. true or false

A: The marginal product of labor refers to the additional amount of output produced with the employment…

Q: 7. Compare the alternatives shown below on the basis of a future worth analysis, using an interest…

A: Salvage value is the book value of an asset after all depreciation has been fully expensed. The…

Q: ne practical limitation with Keynesian economics is the challenge of implementing active economic…

A: The numerous macroeconomic theories and models of how aggregate demand significantly affects…

Q: Regarding the merger in Q8: "Mike Coupe, the boss of Sainsbury’s, had claimed that prices would…

A: When two companies come together into an agreement and form a new, single company, then it is said…

Q: You are the manager of Taurus Technologies, and your sole competitor is Spider Technologies. The two…

A: * SOLUTION :- Given that , The cost function is C(Qi) = 2Qi, The product is given by P =290 -…

Q: When is the law of diminishing marginal returns relevant? Selected answer will be automatically…

A: The Law of diminishing marginal returns is when a firm reaches some optimum level of production and…

Q: When will a monopoly be economically efficient? a if it produces where the marginal cost equals…

A: Allocative efficiency is when the production is where P = MC P is the price MC is the marginal…

Q: Suppose that a company needs new equipment, and that the machinery in question earns the company…

A: Present value is the current value of the upcoming cash, accessible at a discount rate of interest.…

Q: A firm in a competitive market should hire workers up to the point where the value of the marginal…

A: Competitive market refers to a market scenario in which there are large/huge number of buyers and…

Q: What is green economics. Explain in more than 150 words.

A: A approach of economics known as "green economics" aims to simultaneously satisfy the needs of…

Q: Suppose Rashard and Alyssa are playing a game that requires both to simultaneously choose an action:…

A: Dominant strategy is the strategy which yields the highest satisfaction to a player by choosing a…

Q: A firm has three factories each producing the same item. Let x, y and z denote the respective output…

A: The mathematical link between the expense spent during production of a good and the quantity of that…

Q: The figure above shows a housing market with a rent (price) ceiling equal to $1500. With the rent…

A: Producer surplus is the discrepancy between a buyer's willingness to pay and the commodity's market…

Q: What is cash equivalents?. Define it with the context of economics.

A: Cash refers to the liquid form of currency that can be used to purchase goods and services. Cash can…

Q: Please describe and explain the multiplier effect. (Word Limit: 200)

A: The proportionate increase or reduction in ultimate revenue that follows an infusion or withdrawal…

Question

Do not answer question on screen. Question: Can you please draw the graph as a supply and demand graph that includes Alex labels. Such as pricing and quantity

1.
Let (inverse) demand be Pb = 110 - 4 Qb and (inverse) supply be Pv = 18 + 1 Qv. Consider the
PRICE FLOOR (P_high) depicted, how much CONSUMER SURPLUS is there?
Answer: your answer
Price ($)
$ 120
$ 100
$80
$ 60
$40
$20
$0
SHIDO
O
O
10
Demand
20
Submit
Supply
30
I
Eqm
I
40
P_high
I
1
50
60

Video Video

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps with 2 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

The demand curve for product X is given by QXd = 340 − 4PX.a. Find the inverse demand curve. Instruction: Enter all values as integers, or if needed, as a decimal. PX = ___ − ___ QXdInstructions: Enter your responses to the nearest penny (two decimal places).b. How much consumer surplus do consumers receive when Px = $45?$ c. How much consumer surplus do consumers receive when Px = $30?$ d. In general, what happens to the level of consumer surplus as the price of a good falls?The level of consumer surplus _____ as the price of a good falls
The supply curve for product X is given by QXS = -300 + 10PX .a. Find the inverse supply curve.P = ___ + ___ Qb. How much surplus do producers receive when Qx = 300? When Qx = 800?When QX = 300: $ ___When QX = 800: $ ___
The demand curve for product X is given by QXd = 380 − 5PX.a. Find the inverse demand curve. Instruction: Enter all values as integers, or if needed, as a decimal. PX = ____−____QXdInstructions: Enter your responses to the nearest penny (two decimal places).b. How much consumer surplus do consumers receive when Px = $55?c. How much consumer surplus do consumers receive when Px = $35?
The demand curve for product X is given by Qxd = 300 − 2Px. a. Find the inverse demand curve. b. How much consumer surplus do consumers receive when Px = $45? c. How much consumer surplus do consumers receive when Px= $30? d. In general, what happens to the level of consumer surplus as the price of a good falls?
Suppose that the market demand curve for a good is given by D=80-2P-2I, where D is the quantity demanded, P is the price of the good, and I is consumer income in thousands of dollars. The good is a divisible good. The supply curve is given by S = 3P, where S is the quantity supplied. Assume that I = 15. (a) (10 points) How many units of the good are demanded with P = $4? (b) (10 points) Compute the size of a consumer surplus at P = $4. (c) (10 points) Derive the equilibrium price of the good.
The demand function for a certain product is? = 86 − ?2and the supply function is? = ?2 + 6? + 30where p is in millions of dollars and x is the number of thousands of units. Find the equilibriumpoint (x, p), then find the consumer’s surplus and producer’s surplus. Round your answer to thenearest unit (the nearest million dollars).
Supply and Demand Q1 Assume that the demand curve D(p) given below is the market demand for apples: Q=D(p)=280−20pQ=D(p)=280-20p, p > 0 Let the market supply of apples be given by: Q=S(p)=48+9pQ=S(p)=48+9p, p > 0 where p is the price (in dollars) and Q is the quantity. The functions D(p) and S(p) give the number of bushels demanded and supplied. What is the consumer surplus at the equilibrium price and quantity? Round the equilibrium price to the nearest cent, use that rounded price to compute the equilibrium quantity, and round the equilibrium quantity DOWN to its integer part.Maintain full precision for the vertical intercept by carrying the full fraction into your consumer surplus calculation.Please round your consumer surplus answer to the nearest integer.
Question 39 You are considering buying a monthly metro pass for the subway at $100 or paying $4 per ride (Pd). Your monthly demand curve is Pd = 60-2Qd where Qd is the number of rides per month. Given this information, your consumer surplus will be $784 buying each ride and $800 with the monthly pass. $600 buying each ride and $700 with the monthly pass. $784 buying each ride and $750 with the monthly pass. $750 buying each ride and $900 with the monthly pass.
Total surplus is maximized at the equilibriumprice and quantity. When demand increases,price increases. Explain how total surplus is stillmaximized if price increases due to an increase indemand
If demand is P = 80 - 2Q and supply is P = 20 + 3Q, what is the value of the Consumer Surplus?Enter as a value.
Suppose the following demand and supply function:Qd = 750 – 25PQs = -300 + 20 Pi.Find equilibrium price and quantityii.Find consumer and producer surplus
a)Find the equilibrium price and quantity in a market whose supply and demand curves are given by P = 50 +3Qs and P = 200 - 2Qd, respectively. b)Graph this market equilibrium? c)Determine the: i.buyer’s surplus, ii.seller’s surplus, and iii.total surplus?