If the demand for sandwiches increases and sandwich makers produce the efficient quantity, what happens to consumer surplus and producer surplus? If the market is efficient, the consumer surplus is $. the producer surplus is and total surplus is $.

If the demand for sandwiches increases and sandwich makers produce the efficient quantity, what happens to consumer surplus and producer surplus? If the market is efficient, the consumer surplus is $. the producer surplus is and total surplus is $.

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter7: Market Efficiency And Welfare

Section: Chapter Questions

Problem 11P

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Question

The graph shows the demand and supply curves for sandwiches.
If the sandwich market is efficient, what is the consumer surplus, what is the
producer surplus, and what is the total surplus?
If the demand for sandwiches increases and sandwich makers produce the
efficient quantity, what happens to consumer surplus and producer surplus?
If the market is efficient, the consumer surplus is $, the producer surplus is
and total surplus is $5
C
co
5-
4-
3-
2-
1-
0
Price (dollars per sandwich)
S
D
50 100 150 200 250 300
Quantity (sandwiches per hour)
350

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