1. Welfare analysis: Basic conceptsIdentify whether each of the following statements best illustrates the concept of consumer surplus, producer surplus, or neither.StatementConsumer SurplusProducer SurplusNeitherEven though I was willing to pay up to $143 for a used laptop, I bought a used laptop for only $138. I sold a watch for $62, even though I was willing to go as low as $52 in order to sell it. Even though I was willing to pay up to $70 for a used textbook and even though the seller was willing to go as low as $57 in order to sell it, we couldn't reach a deal because the government imposed a price ceiling of $51 on the sale of textbooks. 1. Welfare analysis: Basic conceptsIdentify whether each of the following statements best illustrates the concept of consumer surplus, producer surplus, or neither.ConsumerProducerStatementSurplusSurplusNeitherEven though I was willing to pay up to $143 for a used laptop, I bought a used laptop for only $138.I sold a watch for $62, even though I was willing to go as low as $52 in order to sell it.Even though I was willing to pay up to $70 for a used textbook and even though the seller waswilling to go as low as $57 in order to sell it, we couldn't reach a deal because the governmentimposed a price ceiling of $51 on the sale of textbooks.

1. Consumer surplus: Since the willingness to pay is $143 but pays only$138 so the consumer surplus…

Answered: the following statements best…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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1. Welfare analysis: Basic concepts

Identify whether each of the following statements best illustrates the concept of consumer surplus, producer surplus, or neither.

Statement	Consumer Surplus	Producer Surplus	Neither
Even though I was willing to pay up to $143 for a used laptop, I bought a used laptop for only $138.
I sold a watch for $62, even though I was willing to go as low as $52 in order to sell it.
Even though I was willing to pay up to $70 for a used textbook and even though the seller was willing to go as low as $57 in order to sell it, we couldn't reach a deal because the government imposed a price ceiling of $51 on the sale of textbooks.

1. Welfare analysis: Basic concepts
Identify whether each of the following statements best illustrates the concept of consumer surplus, producer surplus, or neither.
Consumer
Producer
Statement
Surplus
Surplus
Neither
Even though I was willing to pay up to $143 for a used laptop, I bought a used laptop for only $138.
I sold a watch for $62, even though I was willing to go as low as $52 in order to sell it.
Even though I was willing to pay up to $70 for a used textbook and even though the seller was
willing to go as low as $57 in order to sell it, we couldn't reach a deal because the government
imposed a price ceiling of $51 on the sale of textbooks.

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