A market maker faces the following demand and supply for widgets. Eleven buyers are willing to buy at the following prices: $15, $14, $13, $12, $11, $10, $9, $8, $7, $6, $5. Eleven sellers are also willing to sell at the same prices. If the market maker bought and sold at the equilibrium price, what is his profit?
A market maker faces the following demand and supply for widgets. Eleven buyers are willing to buy at the following prices: $15, $14, $13, $12, $11, $10, $9, $8, $7, $6, $5. Eleven sellers are also willing to sell at the same prices. If the market maker bought and sold at the equilibrium price, what is his profit?
Essentials of Economics (MindTap Course List)
8th Edition
ISBN:9781337091992
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter14: Monopoly
Section: Chapter Questions
Problem 6PA
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![A market maker faces the following
demand and supply for widgets. Eleven
buyers are willing to buy at the following
prices: $15, $14, $13, $12, $11, $10, $9, $8,
$7, $6, $5. Eleven sellers are also willing to
sell at the same prices. If the market maker
bought and sold at the equilibrium price,
what is his profit?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F42f504d7-b3a5-4ce7-b3df-ffaeddfcaf50%2F26fe3d46-d341-4a8f-b0aa-49e7a1c17a4f%2Fgkzk11d_processed.jpeg&w=3840&q=75)
Transcribed Image Text:A market maker faces the following
demand and supply for widgets. Eleven
buyers are willing to buy at the following
prices: $15, $14, $13, $12, $11, $10, $9, $8,
$7, $6, $5. Eleven sellers are also willing to
sell at the same prices. If the market maker
bought and sold at the equilibrium price,
what is his profit?
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