Question 8 CoursologySuppose the (non-excludable) broadcast radio program is converted into an (excludable)podcast subscription. If the firm sets the price at $6, that:Price, P (S)-416Demand12Benefit to8listeners4Revenue0Marginal broadcasting costDWLEP-6-82,0004,0006,000Number of listeners, N8,00010,00012,00014,000has no effect on the total surplusdecreases the total surplus by $48,000decreases the total surplus by $12,000.increases the total surplus by $36,0001 pts

Background on the Economic ConceptsIn economics, total surplus is the sum of consumer surplus and…

Answered: Question 8 Coursology Suppose the…

Principles of Microeconomics

7th Edition

ISBN:9781305156050

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter22: Frontiers Of Microeconomics

Section: Chapter Questions

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