Q5) Consumer Surplus 1,050,000 1.000.000 950,000- Price (dollars per car). 900,000- 850.000- 800.000- 2750.000- 700,000- 650.000- 600,000- 0 Fred Market Demand for Porsche Spyder Michel Hua Carlos John Marty If Bob's maximum price threshold increased by 30 percent, a. would he buy a Spyder at a market price of $847,975? b. how much consumer surplus would he have? Bob 8 Blaise Quantity Demanded(cars per year)

Q5) Consumer Surplus 1,050,000 1.000.000 950,000- Price (dollars per car). 900,000- 850.000- 800.000- 2750.000- 700,000- 650.000- 600,000- 0 Fred Market Demand for Porsche Spyder Michel Hua Carlos John Marty If Bob's maximum price threshold increased by 30 percent, a. would he buy a Spyder at a market price of $847,975? b. how much consumer surplus would he have? Bob 8 Blaise Quantity Demanded(cars per year)

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter5: Elasticity

Section: Chapter Questions

Problem 27CTQ: Can you think of an industry (or product) with near infinite elasticity of supply in the short term?...

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