please solve both a and b to the question USE TABLE #1:Now, assume the market for electric automobiles is an efficient market. The producersurplus for the market for electric automobiles is $___- (Remember to use a comma,if a comma is needed and to include the decimal point and two numbers to the rightof the decimal point).USE TABLE #1:The calculation you used to find the producer surplus for the efficient market forelectric automobiles is 1/2 x ($$4)x(). (Remember to use a comma, if a commis needed and to include the decimal point and two numbers to the right of thedecimal point). FIGURE #1:Price (dollars perPrice (dollars perton of plywood)ton of plywood)D2DIDD2Quantity (tons ofplywood per month)Figure AQuantity (tons ofplywood per month)Figure BPrice (dollars perton of plywood)Price (dollars perton of plywood)S2S2DQuantity (tons ofplywood per month)Quantity (tons ofplywood per month)Figure CFigure DTABLE #1:The following table shows different points on the linear supply and demand curves for electric automobiles:QuantitySuppliedIn Units60120180240300360Price$0.00$20,000.00$40,000.00$60,000.00$80,000.00$100,000.00$120,000.00QuantityDemanded720600480360240120In Units

Efficient quantity is 240 units and price is 80,000$

USE TABLE #1: Now, assume the market for electric automobiles is an efficient market. The producer surplus for the market for electric automobiles is $ - (Remember to use a comma, if a comma is needed and to include the decimal point and two numbers to the right of the decimal point). USE TABLE #1: The calculation you used to find the producer surplus for the efficient market for electric automobiles is 1/2 x ($ - 24 )x( ). (Remember to use a comma, if a comm is needed and to include the decimal point and two numbers to the right of the decimal point).

USE TABLE #1: Now, assume the market for electric automobiles is an efficient market. The producer surplus for the market for electric automobiles is $ - (Remember to use a comma, if a comma is needed and to include the decimal point and two numbers to the right of the decimal point). USE TABLE #1: The calculation you used to find the producer surplus for the efficient market for electric automobiles is 1/2 x ($ - 24 )x( ). (Remember to use a comma, if a comm is needed and to include the decimal point and two numbers to the right of the decimal point).

Economics:

10th Edition

ISBN:9781285859460

Author:BOYES, William

Publisher:BOYES, William

Chapter19: Using Economics To Understand The World Around You

Section: Chapter Questions

Problem 9E: The United States government subsidizes many so-called green companies. For instance, it has given...

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Suppose the demand and the supply for lumber (harvested wood processed in a sawmill) used for construction in Australia are given byQD =100 – 2PQS = 1/2PAssume also that the market is perfectly competitive.Suppose the lumber market described was closed to the rest of the world. Now it opens to trade and the world price of lumber is 20. Compute the equilibrium price, quantity supplied by domestic producers, and quantity demanded by domestic consumers.2.Use a demand and supply graph to show how consumer surplus, producer surplus, and total surplus change with international trade.3. Now suppose that Country A is a major exporter of lumber to Australia and in an effort to impose sanctions on Country A, Australia imposes a tariff of t=10 on all lumber imported into Australia. Use a graph of supply and demand to show how the tariff changes consumer, producer and total surplus.4. Calculate the equilibrium price, quantity produced and demanded domestically, tariff revenue, and deadweight loss.
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Question 1 The table below shows the marginal costs of the last croissant produced by four different bakeries. Assume that any bakery willing to sell croissants at the market price sells 100 croissants and that all bakeries have the same costs. How much producer surplus is earned in this market at a price of $3.00 Question 1 options: a) $100 b) $0 c) $1 d) $75 e) $200 Question 2 Use the graph below to answer the following question: What happens to consumer surplus if the price decreases from $8 to $5? Question 2 options: a) It increases by $18 b) It increases by $3 c) It increases by $21 d) It remains constant at $25 e) It…
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The accompanying diagram illustrates a taxi driver’s individual supply curve (assume that each taxi ride is the same distance). a. Suppose the city sets the price of taxi rides at $4 per ride, and at $4 the taxi driver is able to sell as many taxi rides as he desires. What is this taxi driver’s producer surplus? (Recall that the area of a right triangle is ½ × the height of the triangle × the base of the triangle.) b. Suppose that the city keeps the price of a taxi ride set at $4, but it decides to charge taxi drivers a “licensing fee.” What is the maximum licensing fee the city could extract from this taxi driver? c. Suppose that the city allowed the price of taxi rides to increase to $8 per ride. Again assume that, at this price, the taxi driver sells as many rides as he is willing to offer. How much producer surplus does an individual taxi driver now get? What is the maximum licensing fee the city could charge this taxi driver?
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