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The table provides information on the supply schedules of hot air balloon rides by Xavier, Yasmin, and Zack, who are the only sellers in the market.
Price (dollars per ride)
Quantity supplied (rides per week)
Xavier
Yasmin
Zack
100
30
25
20
90
15
80
10
70
5
60
0
50
40
a. Construct the market supply schedule.
b. What are the minimum prices that Xavier, Yasmin, and Zack are willing to accept to supply 20 rides? Why?
c. What is the marginal social cost when the total number of rides is 30?
d. What is the marginal cost for each supplier when the total number of rides is 30 and how many rides does each of the firms supply?
e. What is each firm's producer surplus when the price is $70 a ride?
f. What is the market producer surplus when the price is $70 a ride?
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