Illustrate what is the total price of program to consumers

Assignment Help Business Economics

Reference no: EM1345804

Suppose that the government decides to guarantee and above-market price for a good by buying up and surplus ar the above-market price. Using a conventional supply- demand diagram, illustrate the following gains and losses from such a price support:

a. The loss of consumer surplus

b. The gain of producer surplus in the short run

c. The cost of running the government program ( assuming no storage costs)

d. Illustrate what is the total price of the program to consumers?

e. Are the total cost and benefits of the support program widespread concentrates?

Reference no: EM1345804

Questions Cloud

What is the total cost of pollution reduction in situation : Explain briefly why the sellers and buyers are each willing to do so. What is the total cost of pollution reduction in this situation.

How will they produce qualitative or quantitative data : Find Tools that Might be Used to Evaluate Successful Communication - Will they produce qualitative or quantitative data? How would you use such tools as a consultant? or as an employer or a consultant?

Determining entropy of encrypted message : If this message is encrypted with DES by using a random 56-bit key, determine encrypted message's entropy?

Calculate the simple interest rate : A car broker will sell you a used car for $5,534 with $534 down & payments of $160.56 per month for 36 months. Calculate the simple interest rate?

Illustrate what is the total price of program to consumers : The cost of running the government program ( assuming no storage costs). Illustrate what is the total price of the program to consumers.

Explain the effect of appropriate business communication : Show the effect of appropriate business communication - Do you agree or disagree with the given statement

Management outlining and validating the factors : Emerging markets pose many challenges from operational and financial risks; yet emerging markets often reveal possibilities for diversification & economic growth.

Explain how does the market system efficiently perform : Explain how does the market system efficiently perform the functions of communication, coordination and motivation in the distribution of resouces to comsumers.

Describe why social media is important to the firm : Describe why social media is important to the firm and clarify the social media's goals and provide details about how to handle common situations such as negative complaints or scandals.

User Account

All Pages