Solve all questions compulsory.. 3. Following table shows the willingness to pay of consumers to buy a pair of sport shoes andthe cost of producing a pair of sport shoesBuyer Willingness to Pay ($)SellerCost ($)A15W10B30X20C45Y30D60N4041a. If the market price of shoes is $35, which sellers will supply units and which buyers will buy theseshoes in the market?b. If the market equilibrium price is $35, what is total producer and consumer surpluses in themarket?

Consumer surplus will be computed as a difference between consumer's willingness to pay for a…

3. Following table shows the willingness to pay of consumers to buy a pair of sport shoes and the cost of producing a pair of sport shoes Buyer Willingness to Pay ($) Seller Cost ($) A 15 W 10 B 30 X 20 C 45 Y 30 D 60 Z 40 If the market price of shoes is $35, which sellers will supply units and which buyers will buy these shoes in the market? b. If the market equilibrium price is $35, what is total producer and consumer surpluses in the market?

3. Following table shows the willingness to pay of consumers to buy a pair of sport shoes and the cost of producing a pair of sport shoes Buyer Willingness to Pay ($) Seller Cost ($) A 15 W 10 B 30 X 20 C 45 Y 30 D 60 Z 40 If the market price of shoes is $35, which sellers will supply units and which buyers will buy these shoes in the market? b. If the market equilibrium price is $35, what is total producer and consumer surpluses in the market?

Essentials of Economics (MindTap Course List)

8th Edition

ISBN:9781337091992

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter4: The Market Forces Of Supply And Demand

Section: Chapter Questions

Problem 6QR

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