Equilibrium price-quantity-consumer surplus

Reference no: EM1366666

Suppose that the demand curve for apples is given by Qd = 140 - 5P, where Qd is the number of pounds demanded per year and p is the price per pound. The supply of apples can be described by Qs = 40 + 3P, where Qs is the number of pounds provided.

A. What is the equilibrium price?

B. What is the equilibrium quantity supplied and demanded?

C. Calculate the consumer surplus at the equilibrium price.

D. Calculate the producer surplus at the equilibrium price.

E. Calculate the total surplus at the equilibrium price.

F. Now suppose that the government imposes a tax of $8 per pound sold, paid by the consumers. In this case, what are the price and the consumer surplus?

Reference no: EM1366666

Questions Cloud

Write analogous steps in dimensioning computer network : Write four steps which you think a transportation engineer takes when dimensioning such highway. What are the analogous steps in dimensioning computer network?

Polarities and polarity management : Show you understand polarities and polarity management - Polarities and polarity management

What is strategic management : What do you mean by strategic management? What are some illustrations of business strategies in nursing or health care settings?

Determine the purpose of your presentation : Research information on this topic - Determine the purpose of your presentation and your audience.

Equilibrium price-quantity-consumer surplus : Assume that the demand curve for apples is given by Qd = 140 - 5P, where Qd is number of pounds demanded per year and p is the price per pound. The supply of apples can be described by Qs = 40 + 3P, where Qs is the number of pounds provided.

Singapore and china-finance and organization : Illustrate the difference between Singapore and China in terms of their finance and organization?

Investment portfolio in a mutual fund : Whether you have created your own investment portfolio in a mutual fund, you will naturally be quite interested in the value of the individual securities or the fund itself.

Solution for real-time analytical processing diminishes : When merging transaction and analytical processing problem occurs. Real-time analytical processing diminishes performance of transaction processing. Find the solution to this problem which many companies use?

Explain how proposed survey addresses problem statement : Explain how the proposed survey addresses your problem statement and determine if your survey questions are appropriate to research your business problem. Explain

User Account

All Pages