The following graph plots a supply curve (orange line) for a group of recent graduates looking to sell used smart devices. Each seller has only a single used smart device available for sale. Think of each rectangular area beneath the supply curve as the "cost," or minimum price that each seller is willing to accept. Assume that anyone who has a cost that equals the market price is willing to sell their used smart device.

The following graph plots a supply curve (orange line) for a group of recent graduates looking to sell used smart devices. Each seller has only a single used smart device available for sale. Think of each rectangular area beneath the supply curve as the "cost," or minimum price that each seller is willing to accept. Assume that anyone who has a cost that equals the market price is willing to sell their used smart device.

Managerial Economics: A Problem Solving Approach

5th Edition

ISBN:9781337106665

Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Chapter6: Simple Pricing

Section: Chapter Questions

Problem 6MC

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The following graph plots a supply curve (orange line) for a group of recent graduates looking to sell used smart devices. Each seller has only a single used smart device available for sale. Think of each rectangular area beneath the supply curve as the "cost," or minimum price that each seller is willing to accept. Assume that anyone who has a cost that equals the market price is willing to sell their used smart device. PRICE (Dollars per used smart device) 180 150 120 90 60 30 0 0 Andrew U Statement 1 Y X Beth ロロ 04 Darnell 张 ☐ Eleanor Jacques ロロ 2 3 4 QUANTITY (Used smart devices) 5 Kyoko + 6 Region X (the purple shaded area) represents total producer surplus when the market price is equal to $ area) represents when the market price In the following table, indicate which statements are true or false based on the information provided on the previous graph. while Region Y (the grey shaded Producer surplus is larger when the price is $105 than when it is $75. Assuming each seller…
Consider that the retail market for sanitizing wipes in a small locale is described by the follow demand and supply equations respectively: P = 8.40 - 0.02Q and P = 6.60 + 0.01Q where P is the price in dollars and Q is the quantity measured in thousands per week. The market is currently in equilibrium. (Question 8 of 8) Now consider than an unexpected viral outbreak led to consumers ensuring that much more surfaces (counter tops, door handles, etc.) are clean and sanitized. At the same time, the government's demand for sanitizing wipes at various public institutions (hospitals, schools, etc.) has impacted the supply of sanitizing wipes in the retail market. Although the government is neither a buyer nor seller in the retail market, their requests for sanitizing wipes does affect how many sanitizing wipes firms are able to supply in the retail market. The market for sanitizing wipes adjusts afterwards and the market is in equilibrium. Suppose that after the market for sanitizing wipes…
The following graph plots a supply curve (orange line) for a group of recent graduates looking to sell used air fryers. Each seller has only a single used air fryer available for sale. Think of each rectangular area beneath the supply curve as the "cost," or minimum price that each seller is willing to accept. Assume that anyone who has a cost that equals the market price is willing to sell their used air fryer. 180 150 PRICE (Dollars per used air fryer) 60 60 90 90 120 30 0 0 ㅁ Raphael Y X ☐ Susan ☐ Clancy ☐ Becky Alex ㅁㅁ Eileen +> 1 2 3 4 5 6 QUANTITY (Used air fryers) Region X (the purple shaded area) represents total producer surplus when the market price is equal to $ area) represents when the market price , while Region Y (the grey shaded In the following table, indicate which statements are true or false based on the information provided on the previous graph. Statement True False Assuming each seller receives a positive surplus, Raphael will always receive less producer surplus…
The following graph shows the supply curve for a group of students looking to sell used tablets. Each student has only one used tablet to sell. Each rectangular segment under the supply curve represents the “cost,” or minimum acceptable price, for one student. Assume that anyone who has a cost just equal to the market price is willing to sell his or her used tablet.
Explain how the supply curve for child care workers has shifted since February 2020 (before the Covid-19 shutdown) and how this has affected availability and pricing of child care in the US. use drawings
Some used cars are peaches, worth $3,000 to buyers and $2,500 to sellers, and some are lemons,. worth $2,000 to buyers and $1,000 to sellers. There is a fixed supply of cars and unlimited demand. Suppose there are twice as many peaches as lemons. Assume buyers can't tell the quality of a given car, while sellers can. What do the supply and demand curves look like? In the text, we asserted that markets clear at $2,666.67. Are there other market clearing prices?
DS S The following graph plots a supply curve (orange line) for a group of recent graduates looking to sell used motor scooters. Each seller has only a single used scooter available for sale. Think of each rectangular area beneath the supply curve as the "cost," or minimum price that each seller is willing to accept. Assume that anyone who has a cost that equals the market price is willing to sell their used scooter. PRICE (Dollars per used scooter) 360 300 240 180 120 60 0 0 Alex Statement Becky Clancy Eileen Hubert 2 4 3 QUANTITY (Used scooters) 5 Kate O Đ Region X (the purple shaded area) represents total producer surplus when the market price is equal to $ area) represents when the market price In the following table, indicate which statements are true or false based on the information provided on the previous graph. Producer surplus is smaller when the price is $210 than when it is $180. Assuming each seller receives a positive surplus, Alex will always receive more producer…
The figure below shows Serena's demand curve for days in the hospital. The marginal cost of an additional day in the hospital is $200 Price (5/day 400 300 200 100 D Length of hospital stay (days) If Serena had to pay the entire marginal cost of spending a day in the hospital, then she would choose to stay. Multiple Choice days)
The following chart tells you the willingness to pay (WTP) for generic and custom refrigerators for three types and the number of each type on your market. Each refrigerator costs $200 to make the generic and $250 to make the custom. High Value Medium Value Low Value #of each type 20 30 30 Value for generic 600 500 175 Total value for Custom 750 575 200 If you were only to sell the generic refrigerator, what price should you set? If you were to sell both refrigerator types, what price should you set for the custom refrigerator?
The diagram to the right illustrates a hypothetical demand curve representing the relationship between price (in dollars per unit) and quantity (in 1,000s of units per unit of time). The area of the triangle shown on the diagram is $ (Enter your response as an integer.) (D) Price (dollars per unit) 100- 90- 80- 70- 65 60- 50- 40- 30- 20- 10- 0- 39 :25 51 10 20 30 40 50 60 70 80 90 Quantity (1,000s of units per unit of time)
Does supply increase/decrease? No, the change in the price of landline phoneservice does not affect any of the nonprice determinants of supply. The supplycurve stays where it is.
Q#3 Following is the demand and supply for burgers in an event in Dubai Price, $ Quantity demanded Quantity supplied 2.10 800 7,200 1.80 1,600 4,800 1.60 2,400 2,400 1.40 3,200 800 1.20 4,100 200 Page 1 of 3 2/3 Find the equilibrium point? What makes you think so If the organizers of the sporting event decide to set the price at 1.80, how many burgers will be sold?