I need help solving this problem please? Calculate The consumer surplusThe producer surplusDeadweight loss Question 6A market has a demand function given by the equation Qd = 180 - 2P, and a supply function given by theequation Qs = -15 + P. The market is government-regulated with a price support per unit and productionquotas. (NOTE: A production quota is a restriction on the quantity of the good that can be produced.Firms are not allowed to produce more than the quota)(a) If the price is set at $72 per unit, what production quota is needed to make sure there are no shortages orsurpluses?HINT: Sketch the supply and demand equations.Answer:36Considering the price support and the quota, calculate(1) the consumer surplus,Answer: 324 Suppose now that the government decides to increase the number of quotas available to 72 units, but it keepsthe price support at the current level of $72.d) Calculate(1) the consumer surplus,Answer: 297(1) the producer surplus,

Consumer Surplus: It refers to the level of welfare that consumers get, or it is the difference…

Answered: Suppose now that the government decides…

ENGR.ECONOMIC ANALYSIS

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Comment Create Protect This graph shows one consumer's demand for ice cream at the student union: 83.80 53.00 32.30 $2 00 $1530 100 Scoops per Week 1. Refer to the figure above. According to the demand curve shown above, each individual student has consumer surplus when price is A. less; lower B. more; higher C. more; lower D. the same; higher 1/178 Price
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When does a producer surplus occur? a. when individuals pay less than the maximum amount they would have been willing to pay for a good or service b. when producers sell a product for the exact minimum amount they would be willing to accept c. when producers sell a product for less than the minimum amount they would be willing to accept d. when producers sell a product for more than the minimum amount they would be willing to accept
Identify at least one positive externality from running a donut shop. Identify at least one negative externality from running a donut shop. Explain how these positive and negative externalities could impact the donut shop’s profits. (Hint: think subsidy for positive externality and tax for negative externality.) Draw two graphs that show the price of donuts before and after the positive and negative externality impacted the price of your donuts.
Most transactions in the economy generate what sort of surplus? a. consumer and producer b. producer c. consumer d. government
Which of the following would restore efficiency in this market? A. A quantity limit of 10 B. A subsidy of $75 C. Auctioning 40 tradable permits D. Forbidding all trade in the market
Write two drawbacks of price ceiling
When there is a deadweight loss in the market, the marginal benefit must be larger than the marginal cost at the quantity transacted. Do you agree? Explain with a diagram.
80 50 A E L Sty MN 500 C T M D P 1000 Dus 700 Note: A, B, ,P represent each area section. In the Insulin market, the government decides to regulate a price with the ceiling prince $50.00. With this regulation, where are the area of producer surplus? OL O A+B O E+F+L OB+F
explain all of the following concepts: a- Producer surplus b- Cobweb model c- Discriminating
Click on the icon to read the news clip, then answer the following questions. www The graph shows the market for milk in Venezuela when a price control is in effect. Draw a shape that represents: 1) consumer surplus. Label it CS. 2) producer surplus. Label it PS. 3) the deadweight loss. Label it DWL. Also draw a shape that show the resources lost from time spend in line. Label it Loss. Moving from a milk market with no price controls to a milk with price controls consumer surplus and producer surplus. OA. increases; decreases OB. decreases; increases Oc. increases; increases OD. decreases; decreases In the market for cheese, OA. the price is below the market equilibrium 9 O 60- 50- 40- 30- 20- Price (bolivars per gallon) 10+ 0 40 $ 100 Price control 300 200 300 400 500 600 700 Quantity (gallons of milk) >>> Draw only the objects specified in the question. D Next

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Suppose now that the government decides to increase the number of quotas available to 72 units, but it keeps the price support at the current level of $72. d) Calculate (1) the consumer surplus,