Added: 5 months ago
From: FreeEconHelp
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  • great thanks!

  • Thank you very much....My stupid book didn't say this and my teachers beyond worthless since its an online class.

  • can I use this calculation for "TOTAL" consumer surplus?

  • @marryson123 I don't think there is a difference between "consumer surplus" and "total consumer surplus". You may be referring to consumer surplus for everyone (which is the area of the triangle) vs. an individual's consumer surplus which is the difference between one point on the demand curve and the price.

    However, there is a big difference between "total surplus" and "consumer surplus".

  • Say we're given that the demand curve is P=100-4Q. And we're told that MC is constant at £4.

    How would we calculate the prof. maximising quantity and price that a monopolist would choose?

    And then from this how would we go on to calculate the consumer and producer surplus?

    Thanks

  • I have Qs = 200-2P and Qd = 2P-80. im supposed to find Eq price and quantity, consumer, producer, and total surplus. i manage fine, but i dont know how to figure out the Price at the very top of the demand line? how do you do that from the simple equation

    i

  • I have a question, given Q = 16-2P, at the equilibrium, how would you find the total revenue? Thanks if you can help, if not, thanks anyways.

  • @nitrousflash59 Total revenue is calculated by multiplying Price * Quantity. Or P*Q = revenue. So if price was 5, and quantity was 5, total revenue would be 25. Note that total revenue is not the same as producer surplus.

  • @FreeEconHelp Thanks, but the question I was given, it says assuming supply crosses demand at the midpoint, no set price was given.

  • @nitrousflash59 Depends what "midpoint" means. With your problem the max demanded would be 16 (if P=0), and the min is 0, so the midpoint here would be 8 quantity (with a price of 4). This would mean revenue is Q*P or 8*4. Again, this depends on what your instructor means by "midpoint"

  • thank you :)

  • helped a lot♦

  • @HomieFilms Glad it helped

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