What is total cooperative surplus gained as result of trade

Assignment Help Business Economics

Reference no: EM131244404

Sammy has a drone that he values at? $1,500. Dean values the same drone at? $2,000. Sammy decides to sell the drone to Dean for? $1,800. What is the total cooperative surplus gained as a result of this? trade?

Reference no: EM131244404

Questions Cloud

What was the other persons dominant strategy : Think of a time when you were involved in strategic decision making. This could be a business situation or a personal situation. It could be anything from purchasing inputs for a manufacturing firm to trying to divide up household chores. What was th..

Prevent scarcity from re-occurring in the future : How does rent control affect the real-estate market? Are you in favor of rent control or not, and why? What needs to happen to prevent scarcity from re-occurring in the future?

Dean values the same drone : Sammy has a drone that he values at? $1,500. Dean values the same drone at? $2,000. Sammy decides to sell the drone to Dean for? $1,800. If the government imposes a? $250 tax on the sale of? drones,

Subsidy creates a deadweight loss : Sammy has a drone that he values at? $1,500. Frank values the same drone at? $1,000. The government offers a subsidy of? $800 to the buyers of? drones, and Sammy and Frank agree on a price of? $1,600. The subsidy creates a deadweight loss of

What is total cooperative surplus gained as result of trade : Sammy has a drone that he values at? $1,500. Dean values the same drone at? $2,000. Sammy decides to sell the drone to Dean for? $1,800. What is the total cooperative surplus gained as a result of this? trade?

Monopolistically competitive market environment spends : A cosmetic firm operating in a monopolistically competitive market environment spends a lot of money in advertisement and ends up with super-normal profit even in long run. Is it possible? Explain your answer in few words.

What portion of the tax is paid by the buyer : Assume that a $1 tax is imposed on the seller. The new Qs=2+3(P-1). Find the new P&Q. What proportion of the tax is paid by the seller? What portion of the tax is paid by the buyer?

Consider firm that produces using only labor and capital : Consider a firm that produces using only labor and capital. It can produce 1850 units of output by using 4 units of labor and 20 units of capital, or alternatively 2000 units of output by using 5 units of labor and 20 units of capital. If the average..

Assume simultaneous price competition to marginal cost : The soda industry is composed of two firms. Suppose that the demand curve and marginal revenue curve for soda are: where TC is total cost (in tens of thousands of dollars) per month and q is the quantity produced (in millions) per month by the firm. ..

User Account

All Pages