What happens to the level of consumer surplus

Assignment Help Business Economics

Reference no: EM131196006

The demand curve for product X is given by QXd = 300 - 2PX. a. Find the inverse demand curve. PX = - QXd Instructions: Round your answer to the nearest penny (2 decimal places). b. How much consumer surplus do consumers receive when Px = $45? $ c. How much consumer surplus do consumers receive when Px = $30? $ d. In general, what happens to the level of consumer surplus as the price of a good falls?

Reference no: EM131196006

Questions Cloud

The firm using the cobb-douglas production function : Consider the Cobb-Douglas production function: Y = zK^a N^1-a where Y is output, z is total factor productivity, K is capital, N is labor employed, and is the share of capital in the production function. Write down the problem of the firm using the C..

Inward shift in the demand curve for gasoline : The demand in Japan for gasoline is inelastic and therefore not very sensitive to market prices. Given that, describe the effect of each of the following on thequantity demanded or the demand for gasoline in Japan. Indicate whether the effect of each..

Using the balanced scorecard as control system : Using the Balanced Scorecard as a Control System. Balanced scorecard is used in HR to monitor employee performance and other stuff. It is generic in this question there is no data.

Change in interest rate does not shift the supply of bonds : Household wealth affects the equilibrium yield on bonds due to its impact on. A change in the interest rate does not shift the supply of bonds. A change in the interest rate does not shift the demand for bonds.

What happens to the level of consumer surplus : The demand curve for product X is given by QXd = 300 - 2PX. a. Find the inverse demand curve. PX = - QXd Instructions: Round your answer to the nearest penny (2 decimal places). b. How much consumer surplus do consumers receive when Px = $45? $ c. Ho..

Results as the number of cournot competitors increase : Markets: In terms of expected output, price, consumer surplus, profits and societal welfare, compare the standard Cournot - Nash equilibrium (for the case of 2 firms), the monopoly equilibrium and the perfectly competitive equilibrium. What would hap..

Perfectly competitive market and the output of monopoly : What is the relationship between the output of a perfectly competitive market and the output of a monopoly, when both face the same costs (assume constant marginal cost) and the same linear demand?

How would you define the geographic : How would you define the geographic and product markets of large healthcare organizations such as Mayo Clinic, Cleveland Clinic, Kaiser Permanente, and John Hopkins? What are the barriers for new competitors to enter those markets?

Concept of continental economy : Weigh the major differences among and similarities between the economic models of Canada, U.S., and Mexico in each period above, and make an argument about the significance of the concept of a “continental economy of North America”.

User Account

All Pages