What is the value of Consumer Surplus? Please enter your answer as whole dollar amounts with no decimals and do not type in your answer as words. (ie. $4000 not $4000.00 or "Four thousand dollars"). What is the value of Producer Surplus? Please enter your answer as whole dollar amounts with no decimals and do not type in your answer as words. (ie. $4000 not $4000.00 or "Four thousand dollars"). What is the value of Total Surplus? Please enter your answer as whole dollar amounts with no decimals and do not type in your answer as words. (ie. $4000 not $4000.00 or "Four thousand dollars").

What is the value of Consumer Surplus? Please enter your answer as whole dollar amounts with no decimals and do not type in your answer as words. (ie. $4000 not $4000.00 or "Four thousand dollars"). What is the value of Producer Surplus? Please enter your answer as whole dollar amounts with no decimals and do not type in your answer as words. (ie. $4000 not $4000.00 or "Four thousand dollars"). What is the value of Total Surplus? Please enter your answer as whole dollar amounts with no decimals and do not type in your answer as words. (ie. $4000 not $4000.00 or "Four thousand dollars").

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter7: Market Efficiency And Welfare

Section: Chapter Questions

Problem 5P

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Similar questions

Refer to the figure below. What is the consumer surplus generated at a price of $150 per game console? Instructions: Use the tool provided “CS” to illustrate this area on the graph. Consumer surplus: $ ____ What is the producer surplus generated at a price of $150 per game console? Instructions: Use the tool provided “PS” to illustrate this area on the graph. Producer surplus: $ ____ e. What is total economic surplus at a price of $150 per game console? Economic surplus: $ _____ f. What is the economic surplus generated if the market were in equilibrium? Instructions: Use the tool provided “ESeq” to illustrate this area on the graph. Economic surplus in equilibrium: $ ______
What is the value of consumer surplus? What is the value of producer surplus?
What is producer surplus? How is it illustrated on a demand and supply diagram? Give an example of producer surplus.
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…
1) Complete the first two rows of the following table by indicating which areas on the graph represent consumer surplus and producer surplus prior to the shift in supply. Then complete the second two rows by indicating which areas on the graph represent consumer surplus and producer surplus after the change in production costs. Check all that apply. A B C D E F G Initial Consumer Surplus Initial Producer Surplus New Consumer Surplus New Producer Surplus 2) True or False: Consumers are hurt most by rising production costs when the supply of silverware is very elastic. True False
Define consumer surplus and producer surplus. What is meant by economic efficiency, and how does it relate to the gains of consumers and producers?
Here’s a quick problem to test whether you really understand what producer surplus and consumer surplus mean, rather than just relying on the geometry of demand and supply. For each of the two diagrams that follow, calculate producer surplus, consumer surplus, and total surplus. Assume the curves are perfectly vertical and perfectly horizontal.
Draw a supply and demand graph and identify the areas of consumer surplus and producer surplus. Given the demand curve, what impact will an increase in supply have on the amount of consumer surplus shown in your diagram? Explain why.
I understand that total surplus is consumer surplus plus producer surplus. And I understand that deadweight loss occurs from the tax. How do I actually find the answer to this question though? How do I math it? The only equation I’ve used for this chapter so far is for the area of a triangle which ia 1/1 x B xH. If you could graph this out for me that would be great. I’m a visual learner
The following table shows the cost a person B incurs to produce each pen. Cost of first pen Cost of second pen Cost of third pen Cost of fourth pen Cost of fifth pen Cost of sixth pen $1 How much producer surplus does the person get from his/her sales? $2 $3 $4 $6 $8 If the price of a pen is $5, how many pens does the person produce and sell?
In the shopping center nearby, you saw an organic grocery store that barely sells any goods in a day. You are pretty sure the business is not making any profits. 1) Why do the stores stay open? Explain briefly 2) If what happens in this organic grocery store is a common observation in the market, in the long run, what will happen to the supply of organic grocery and the price? Use a supply and demand diagram to show how that response will change the combined amount of consumer surplus and producer surplus in the market.
What is consumer surplus? How is it illustrated on a demand and supply diagram? Give an example of consumer surplus. What is producer surplus? How is it illustrated on a demand and supply diagram? Give an example of producer surplus. What is deadweight loss? How is it illustrated on a demand and supply diagram? GIve an example of deadweight loss.