What is the Consumer Surplus after trade? A.) $6,400 B.) $9,600 C.) $12,800 D.) 14,400   What is Consumer Surplus before trade? A.) $14,400 B.) $16,800 C.) $21,600 D.) $24,800

1. Suppose market demand for gasoline is given by QD = 60-2P where QD is quantity demanded and P is the market price. Market supply is given by Qs = 4P where Qs is quantity supplied and P is the market price. (a) Find the equilibrium price and quantity in this market. (b) What is the consumer surplus and producer surplus? (c) Suppose that the government imposes a $3 tax on the good, to be included in the posted price (i.e. tax paid by suppliers). What is new equilibrium posted price? How much of that price do producers keep? What is the new market equilibrium quantity? What is the change in surplus for consumers? What is the change in surplus for producers?

25.)A binding price ceiling is imposed in the market. the equilibrium price and creates a a.) Above, surplus b.) Below, surplus c.) Above, shortage d.) Below, shortage

6. Producer surplus and price changes 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. PRICE (Dollars per used airfryer) 240 200 160 120 80 40 0 U 0 Eric 0 D 1 2,80 Ginny ロロ Kenji Lucia 0+ 0 Paolo 2 3 4 QUANTITY (Used air fryers) DO Sharon O 6 Region X (the purple shaded area) represents total producer surplus when the market price is equal to S 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 Assuming each seller receives a positive surplus, Eric will always receive more…