The following graph shows the demand curve for a group of students in the market for economics textbooks. Each student vants only one textbook. Assume that if an individual has a willingness to pay just equal to the market price, he or she will make the purchase. Kevin 480 C Maria 400 Rajiv Simone 320 4, 240 240 Yakov Ana 160 80 2. 3 5. 6. QUANTITY (Textbook) Region A (the green shaded area) represents total consumer surplus when the market price isS while region B (the grey shaded area) represents when the market price Complete the following table by indicating which statements are true or false based on the information provided on the previous graph. Statement True False Assuming each student receives a positive surplus, Rajiv will always receive less consumer surplus than Simone. Consumer surplus is larger when the price is $240 than when it is $320. There are fewer students buying textbooks in this market when the market price is $240 than when it is $320. In order for Yakov to earn a consumer surplus of exactly $40 from buying an economics textbook, the market price needs to be PRICE (Dollars per textbook)
The following graph shows the demand curve for a group of students in the market for economics textbooks. Each student vants only one textbook. Assume that if an individual has a willingness to pay just equal to the market price, he or she will make the purchase. Kevin 480 C Maria 400 Rajiv Simone 320 4, 240 240 Yakov Ana 160 80 2. 3 5. 6. QUANTITY (Textbook) Region A (the green shaded area) represents total consumer surplus when the market price isS while region B (the grey shaded area) represents when the market price Complete the following table by indicating which statements are true or false based on the information provided on the previous graph. Statement True False Assuming each student receives a positive surplus, Rajiv will always receive less consumer surplus than Simone. Consumer surplus is larger when the price is $240 than when it is $320. There are fewer students buying textbooks in this market when the market price is $240 than when it is $320. In order for Yakov to earn a consumer surplus of exactly $40 from buying an economics textbook, the market price needs to be PRICE (Dollars per textbook)
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Question
100%
Pls answer the highlighted blanks.
And for the labelled blanks the Choices are:
1. The change in total consumer surplus , or
the total consumer surplus
2. Is $240,
is $320,
changes from $240 to $160,
changes from $320 to $240
Transcribed Image Text:The following graph shows the demand curve for a group of students in the market for economics textbooks. Each student vants only one textbook.
Assume that if an individual has a willingness to pay just equal to the market price, he or she will make the purchase.
Kevin
480 C
Maria
400
Rajiv
Simone
320
4, 240
B
240
Yakov
Ana
160
80
3
5.
6.
QUANTITY (Textbook)
Region A (the green shaded area) represents total consumer surplus when the market price isS
while region B (the grey shaded area)
represents
when the market price
Complete the following table by indicating which statements are true or false based on the information provided on the previous graph.
Statement
True
False
Assuming each student receives a positive surplus, Rajiv will always receive less consumer surplus than Simone.
Consumer surplus is larger when the price is $240 than when it is $320.
There are fewer students buying textbooks in this market when the market price is $240 than when it is $320.
In order for Yakov to earn a consumer surplus of exactly $40 from buying an economics textbook, the market price needs to be
PRICE (Dollars per textbook)
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