December 1, 2023December 23, 2023 by admin

ECO113 BRYANT Consumer, Producer & Total Surplus And Deadweight Loss

Let demand for good Y be given by the function q_d=480-4p and supply be given by q_s=4p-80.

Find the equilibrium price and quantity of good Y. (4 possible points)

Find the Consumer Surplus, Producer Surplus, and Total Surplus. (10 possible points)

Suppose there is a government set maximum price of $50. Find the Consumer Surplus, Producer Surplus, Total Surplus, and Deadweight Loss given the price control. (10 possible points)