If the inverse demand function for toasters isp= 120 - 2q,what is the consumer surplus if the price is 40?Consumer surplus (CS) is $. (Enter your response as an integer.)Reaction27étvMacBook Air80DIIDDF1F2F3F4F5F6F7F8F9F10F11!@#3$&12478Q{[WEYUASFGJKZCVMotioncommarcommandoptionレV

Demand equation: - demand equation is the mathematical equation that shows the relationship between…

Answered: If the inverse demand function for…

If the inverse demand function for toasters is p= 120 - 24, what is the consumer surplus if the price is 40? Consumer surplus (CS) is $ (Enter your response as an integer.)

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Hh1.
in a competitive market, if there should be a surplus of a product at a given price:
Suppose the demand function for a product is given by the function: D(q) = -0.018q+50.4 Find the Consumer's Surplus corresponding to q = 1,550 units. (Do no rounding of results until the very end of your calculations. At that point, round to the nearest tenth, if necessary. It may help you to sketch the demand curve, which crosses the horizontal at q = 2,800.) dollars Answer:
Example 2: In fall of 2011, the National Christmas Tree Association decided to impose a fee/tax of $0.15 per tree sold.² They claimed the tax revenue raised would fund a new marketing campaign for Christmas tree growers in response to growing plastic tree imports. The proposal quickly drew controversy: some argued that the fee/tax would be passed along in higher prices to consumers, but the National Christmas Tree Association says no. How does the answer to this question depend on the assumption about the price elasticity of demand? a. Consider two graphs of the market for Christmas trees. The supply curve in each market is assumed to be the same. In the left graph, assume the price elasticity of demand is relatively inelastic and in the right graph, assume the price elasticity of demand is relatively elastic. Add labels on your diagram to identify the equilibrium price and quantity of trees before the tax. b. Now, suppose retailers are assessed a tax of amount for each tree sold.…
Find the demand function
E1
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