In competitive equilibrium.. (choose all that apply) economic surplus is maximized deadweight loss is maximized marginal benefit = marginal cost everyone is better off
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- (Figure: Avocado Market 2) You're an economist for the U.S. Department of Agriculture, analyzing how incorrect assessments of demand conditions lead avocado producers to overproduce avocados, as illustrated in the accompanying diagram. Price ($ per pound) Actual quantity Marginal cost 5.0 4.5 4.0 3.5 3.0 2.5 2.0 1.5 1.0 0.5 Marginal benefit 0 10 20 30 40 50 60 70 80 90 100 Quantity of avocados (thousands of pounds) The deadweight loss from the excess of marginal cost over marginal benefit is: O $0. O $5,000. O $20,000. 0 $800,000.Check My Work (1 remaining) Use the table below to answer question. The table shows the demand schedule for tickets to watch amateur baseball games in a medium-sized town. The city provides the ballparks, and the players play for free, so the marginal cost of providing the games is zero. The city has authorized two companies to provide baseball games in two stadiums, and the public considers the games in each stadium to be equivalent. Under competition, the price and quantity in this market would be a. $0; 2,400. b. $2; 2,000. c. $4; 1,600. d. $6; 1,200. e. $8; 800CON101 section(2,3 &5)Dr. Abdulhadi Ibrahim / Bonus Quiz (Section 5) 8am Market failure can be caused by of Select one: tion O a. government intervention and price controls O b. externalities and market power O c. high prices and foreign competition O d. low consumer demand
- (Please, use graph to solve this problem) A good can be produced in a competitive industry at a cost of $10 per unit. There are 100 consumers are each willing to pay $12 each to consume a single unit of the good (additional units have no value to them.) What is the equilibrium price and quantity sold? The government imposes a tax of $1 on the good. What is the deadweight loss of this tax?Trial by Jury - Magna Carta: Muse and Mentor | Exhibitions - Library of Congress 4 1 point What is the total surplus under the competitive equilibrium? (remem $/Pizza 15.5 10 8 6 IG 0.5 110 150 190 Type your answer... Price Floor Quantity (pizza in the3. Demand and supply of cigarettes in California are: Supply: Qs = 2Ps + 20 Demand: QD = 200 – PD Calculate the market equilibrium price and quantity, assuming perfect competition. a. b. California decides to tax on cigarettes to fund preschool. It recognizes that a secondary benefit of the tax would be to reduce teen smoking. Suppose taxes of $15 per carton are placed on the consumption of cigarettes. By how much will the tax increase the price consumers pay? By how much will it decrease the price producers receive?
- Quantity of Miami Dade Shades 1st pair 2nd pair 3rd pair 4th pair Marginal Cost (dollars) producer surplus will equal $105. there will be a surplus; as a result, the price will fall to $95. $60 95 140 185 Refer to Table 4-4. The table above lists the marginal cost of sunglasses by Miami Dade Shades, a firm that specializes in producing designer sunglasses. If the market price for a pair of Miami Dade Shades sunglasses is $130, A they will produce three pairs. B producer surplus from the first pair is $35.Question 33 A major reason why the market equilibrium for a manufactured good may not be efficient is the industry is producing too little output. O there is likely to be a positive externality associated with production. O the industry is likely to be a monopoly. O there is too much government regulation. O property rights are not well defined.Asap plz 1) A food industry is made up of 100 identical companies. Each firm has a short-run cost function which is the square of its output, which is SC = 0.5 q2 + 10q + 5. If the total market demand for the food is Q = 1100 – 50P, Questions: a. Calculate and Draw a graph showing the market point equilibrium b. Calculate how much is the consumer surplus? c. Calculate how much is the producer surplus ?
- Review the graph at right for a competitive market. Price 100- How much is the consumer surplus? MC 90 Consumer surplus is $ (round your answer to two decimal places). 80- 70- 60- 50-45 40- 30- 20- 10- D :45 10 20 30 40 50 60 70 80 90 100 Quantity tv 13 30 DII esc F2 F4 F6 F7 FR @ %23 $ % & 4. 7 Q W tab F G caps lock C V hift fn control option command つ * C0 つ エ T レPrice $3 2 10,000 20,000 30,000 S D Quantity Refer to Figure 4-4. The figure above represents the market for iced tea. Assume that this is a competitive market. At an output of 10,000 units the marginal benefit of iced tea is greater than the marginal cost; therefore, output is inefficiently high. the marginal benefit of iced tea is greater than the marginal cost; therefore, output is inefficiently low. the marginal cost of iced tea is greater than the marginal benefit; therefore, output is inefficiently low. producers should lower the price to $1 in order to sell the quantity demanded of 10,000.8. Total economic surplus The following graph plots the supply and demand curves in the market for VR headsets. Use the black point (plus symbol) to indicate the equilibrium price and quantity of VR headsets. Then use the green point (triangle symbol) to fill the area representing consumer surplus, and use the purple point (diamond symbol) to fill the area representing producer surplus. ? PRICE (Dollars per headset) 400 360 320 280 240 200 160 120 80 40 0 0 Demand Supply 75 150 225 300 375 450 525 600 675 QUANTITY (Millions of headsets) Total surplus in this market is $ 750 million. Equilibrium Consumer Surplus Producer Surplus