PPT-Consumer and Producer Surplus

Excise Taxes and Efficiency Theory of Consumer Choice Sample Questions AP Economics Mr Bordelon Consumer Surplus and The Nutcracker Student Willingness to Pay Lois 100 Miguel 90 Nancy. Who gains and who loses when prices change?. 1. The Efficiency of Competitive Markets. Economic efficiency . A market outcome in which the marginal benefit to consumers of the last unit produced is equal to its marginal cost of production, and in which the sum of consumer surplus and producer surplus is at a maximum.. 7. Christina Ammon. Overview. Fill out evaluation. Moodle Quiz 7. If time: one question from old problem set. Question . 1. In . this figure consumer surplus, producer surplus and total surplus are respectively represented as areas: . Excise Taxes and Efficiency. Theory of Consumer Choice. Sample Questions. AP Economics. Mr. Bordelon. Consumer Surplus and . The Nutcracker. Student. Willingness to Pay. Lois. $100. Miguel. 90. Nancy. Consumer and Producer Surplus and Internal Rate of Return. Daniel Mason-D’Croz. Sherman . Robinson. Welfare Analysis. We need to compute benefits and costs associated with policy choices. Benefits and costs occur over long time periods. “…while the law [of competition] may be sometimes hard for the individual, it is best for the race, because it ensures . the survival . of the fittest . in . every department.” . Andrew . Carnegie. . Syed Nasir Mehmood, Nazleeni Haron Universiti . Teknologi . PETRONAS . ,. . Bandar . Seri Iskandar ,. Perak. , Malaysia . . Vaqar Akhtar, Younus Javed, National University of Science & Technology College of Electrical & Mechanical Engineering . taxes & Subsidies). 3.1 International trade . (. Restrictions on free trade: Trade protection). 2.3 Macroeconomic Objectives (Equity in the distribution of income). 1.3 Government intervention. Why . Who gains and who loses when prices change?. 1. The Efficiency of Competitive Markets. Economic efficiency . A market outcome in which the marginal benefit to consumers of the last unit produced is equal to its marginal cost of production, and in which the sum of consumer surplus and producer surplus is at a maximum.. Dr. . Nolila. . Mohd. . Nawi. Dept. of Agribusiness & Information Systems. Faculty of Agriculture. UNIT . 8:. UNDERSTANDING . AGRICULTURAL PRICES. introduction. The fluctuation of agricultural commodities has been widely debated among agricultural . Principles of Microeconomics. Sixth Canadian Edition. by Mankiw/Kneebone/McKenzie. Adapted for the . Sixth Canadian Edition by. Marc Prud’homme. University of Ottawa. CONSUMERS, PRODUCERS, AND THE EFFICIENCY OF MARKETS. On average, students spend $1,200 per semester. An 82% rise in price from 2002-2012. More than an 800% increase from 1978!!!. So, what do college students do?. Consumer and Producer Surplus. Understand and identify the associated benefits of consumer and producer surplus in the marketplace and be able to explain and illustrate market factors that increase/decrease consumer/producer benefits. . Part 1. Laura Jackson Young. Welfare Economics. The . study of how the allocation of resources affects economic . well-being. Maximizing Behavior. Net . benefit. : total . benefit of an activity minus its opportunity . Arsens. Jules . Dupuit. . in 1844. Later . Alfred Marshall . developed this concept in his famous work . ‘Principles of Economics'. . . In our daily life, we consume many commodities that are available cheap. Example: salt, match box news papers, etc. The utility from these commodities is so high that we would be prepared to pay higher prices for them than we actually pay. . Daniel Mason-D’Croz. Sherman . Robinson. Welfare Analysis. We need to compute benefits and costs associated with policy choices. Benefits and costs occur over long time periods. “Discounting” to compute present value of a time stream of...