Top Posters
Since Sunday
a
5
k
5
c
5
B
5
l
5
C
4
s
4
a
4
t
4
i
4
r
4
r
4
This topic contains 2 attachments.
Home Q & A Board Other Fields Homework Help Business Economics
New Topic  
s.h_math s.h_math
wrote...
Go to Answer
Posts: 293
Rep: 3 0
A year ago Edited: A year ago, bio_man
Hi there.

This question is asking for consumer surplus. I know the equation is CS = ½ (base) (height), but how do I use that when there is no graph provided?

8. Consider the market for corn. The supply of corn (m millions to bushels) IS given by Qs =2P. The demand for corn is given by Qd = 12 — P. Consumer surplus at the competitive equilibrium is equal to
a. 12
b. 14
c. 16
d. 18
e. It cannot be determined with the data given.
 Attached file 
Thumbnail(s):
You must login or register to gain access to this attachment.
Read 91 times
12 Replies
Replies
Answer rejected by topic starter
wrote...
#1
Educator
A year ago
Try 14
 Attached file 
Thumbnail(s):
You must login or register to gain access to this attachment.
s.h_math Author
wrote...
#2
A year ago
Bioman, could you explain to me how you got the consumer surplus and producer surplus?
wrote...
#3
Educator
A year ago
Well, I only showed/calculated the consumer surplus here, which is 14. I used the Qd and Qs as the x-axis variables (independent variable), and P as the dependent variable. Graphed them both, found the point of intersection. Above that point is the consumer surplus, as shown in the graph, and below is the other.

Does that help?
s.h_math Author
wrote...
#4
A year ago
kind of..like how did you get 14
wrote...
#5
Educator
A year ago
Each square is 2 units^2. Count all the squares in that region
s.h_math Author
wrote...
#6
A year ago
there are 8 squares
Answer verified by a subject expert
bio_manbio_man
wrote...
#7
Educator
Top Poster
Posts: 33241
Rep: 3442 15
A year ago
Sign in or Sign up in seconds to unlock everything for free
1

Related Topics

s.h_math Author
wrote...
#8
A year ago
makes more sense now bio man, the last thing would be how you made the graph using the equation as there are no certain values to plug in.
wrote...
#9
Educator
A year ago
To make a graph, you need an independent variable and dependent variable.

This of y=x+1 for example. This would form a straight line when graphed
s.h_math Author
wrote...
#10
A year ago
right, so how were the lines formed on your graph? I know this sounds super dumb, but I'm just confused about how I would do it if I were given this question to solve.
wrote...
#11
Educator
A year ago
Yeah for sure. So remember linear equations are

y=mx+b

For Q=2P, it is the same as x=2y. Solve for y:

y=(1/2)x (here, the slope "m" is 1/2 and the y-intercept is 0)

For Q = 12 - p, it is the same as x=12-y. Solve for y:

y=12-x (here, the slope "m" is -1, and the y-intercept is 12)

Does that make more sense?
s.h_math Author
wrote...
#12
A year ago
Yes that helps Bio man thank you
New Topic      
Quick Reply
Explore
Post your homework questions and get free online help from our incredible volunteers
  1089 People Browsing
Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook
Live Chat
Related Images
  
 173
  
 330
  
 957
Your Opinion
What's your favorite math subject?
Votes: 293
Previous poll results: Which industry do you think artificial intelligence (AI) will impact the most?