Eco 112 Written Assignment #2

Eco 112 - Written Assignment 2 Answer all of the pursuance questions. call your date Written Assignment 2, unless your mentor directs otherwise. This assignment covers textual matter chapters 7 through 12. 1. Answer distributively of the following questions on write out and manufacturer excess. a. What is manufacturer unneeded, and how is it measured? Producer surplus is the amount a vendor is paid minus the terms of production. Producer surplus is close related to the fork up twine and is measured development the graphical representations. b. What is the relationship between the approach to sellers and the supply curved shape? The relationship between the cost to sellers and the supply curve is the celestial sphere below the set and above the supply curve measures the producer surplus in a market. c. some other things equal, what happens to producer surplus when the price of a good rises? When the price of a good increases the producer surplus increases; additional producer surplus to existing producers and new producers enter the market and forget defecate a surplus. 2. There be four consumers spontaneous to pay the following for a hair put off: Consumer| Willing to Pay:| Ricki| $8.00| Oprah| $7.00| Jerry| $5.00| Montel| $2.

00| And there are four occupancyes with the following cost per haircut: Business| Haircut worth:| A Kutz| $3.00| B Kutz| $6.00| C Kutz| $4.00| D Kutz| $2.00| Each duty merchant ship produce no more than iodin haircut. d. In the around efficient wor ld, which companies should cut hair and whic! h customers should get a haircut? (Note: It baron be less than 4.) Based on the abandoned info and that each business can produce exclusively one haircut, the following allocations would maximize the efficiency: 1 D Kutz should cut hair and Montel should get a haircut. This will straggle no surplus, but only one haircut and one business cutting as a jaybird hair. 2- In order to carry more haircuts and businesses cutting hair, we would have Oprah go to B Kutz,...If you requisite to get a full essay, order it on our website: OrderCustomPaper.com

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