Question 5: Consumer and Producer surplus Consumer and Producer surplus Stax P $500 $200 $120 $X $50 80 150 Q Assume an excise tax of $130 per-unit tax has resulted in a decrease in Supply as shown on the graph above. Show all your work. a. How much is the value of X (intercept of the green line). How do you describe what that value is? b. How much is the consumer surplus before the tax? c. How much is producer surplus before the tax? d. How much is the consumer surplus after the tax? e. How much is producer surplus after the tax? f. How much tax revenue was raised by the government as a result of this taxation g. How much is the deadweight loss as a result of the tax

Nile.com, the online bookseller, wants to increase its total revenue. One strategy is to offer a 10% discount on every book it sells. Nile.com knows that its customers can be divided into two distinct groups according to their likely responses to the discount. The accompanying table shows how the two groups respond to the discount. Group A Group B(sales per week) (sales per week) Volume of sales beforethe 10% discount 1.55 million 1.50 million Volume of sales afterthe 10% discount 1.65 million 1.70 million A. Using the midpoint method, calculate the price elasticities of demand for group A and group B. B. Explain how the discount will affect total revenue from each group. C. Suppose Nile.com knows which group each customer belongs to when he or she logs on and can choose whether or not to offer the 10% discount. If Nile.com wants to increase its total revenue, should discounts be offered to group A or to group B, to neither group, or to both groups?

How is elasticity related to logarithms?

e Price -Q₁ Quantity Which of the following scenarios is BEST represented in the graph? A number of sellers increase B decrease in government taxes C resource costs increase D technology improves

For each example listed, decide if the good is a normal good or an inferior good. Make sure you answer from the perspective of the individual or individuals doing the buying or consuming.   Billy's mom increases his weekly allowance by %5. As a result, Billy increases the number of apps he downloads on his smartphone. Smartphone apps are

A Moving to another question will save this response. Question 4 Refer to the information provided in Table 22.5 below to answer the question(s) that follow. Table 22.5 Price per Unit in 2014 2015 $2.00 Units Purchased 2013 $2.00 $2.00 $2.50 2016 $2.10 $2.40 $2.50 $3.50 $4.00 Blueberries 8 Pineapples $2.50 $3.00 Cheese 3 $3.00 Refer to Table 22.5. If 2014 is the base year, the consumer price index in 2013 is 0.893. 0.96. 1.04. 1.119.

Graph Input Tool (? S+ Tax Market for Jeans 100 90 I Quantity (Pairs of jeans) 10 Supply 80 Demand Price (Dollars per pair) Supply Price (Dollars per pair) 66.00 0.00 70 60 50 Supply Shifter 40 Demand Tax on Sellers (Dollars per pair) 20.30 30 20 10 + ㅜ 10 20 30 40 50 60 70 80 90 100 QUANTITY (Pairs of jeans) PRICE (Dollars per pair)