Answer:
The answer is: There was no consumer surplus in this situation.
Explanation:
consumer surplus refers to the difference between the maximum amount a consumer is willing to pay for a good or service and the actual price of the good or service.
In this case there was no consumer surplus, since Stacey was willing to pay only $2 for a bottle of mineral water and its price was $2.25, so she didn't buy it.
<span>Then the private benefit from consumption
will will not be the same as the social benefit from consumption.</span>
An externality is the impact of a buy or choice on a man group who did not have a choice in the occasion and whose interests were not considered. Externalities, at that point, are overflow impacts that fall on parties not generally engaged with a market as a maker or a buyer of a product or service. Externalities can be negative or positive, and externalities can come about because of either the production or the utilization of a good, or both.
Answer:
Case 1 = $420 million
Case 2 = $280 million
Case 3 = $350 million
Explanation:
As per the data given in the question,
Annual value by one distributor = $420 million per year
Annual value by two distributor = $560 million per year
Case 1)
The marginal value of first distributor is more than second
So when negotiating the value, it is = $560 million - $420 million = $140 million
and this value would be distribute between both. so each will get = $140 million / 2 = $70 million
and you would expect to capture $420 million of this deal
Case 2)
As distributors are run by government, so negotiation will be done with both the distributor at same time and margin would be $560 million and you would be grabbed = $560 million ÷ 2 = $280 million
Case 3)
In this case marginal amount of contact = $560 million - $140 million = $420 million
and half of it = $420 million ÷ 2 = $ 210 million, which is the amount to be offered
and you would expect to grab the remaining amount = $560 million - $210 million
= $350 million
Answer: Step Four - Construct Segments Profile
Explanation:
When practical market segments have been resolved, segment profiles are then created. Segment profiles are point by point depictions of the purchasers in the segments – portraying their needs, behaviors, preferences for the goods, socio economics, shopping styles, etc. This is much similarly that the age accomplices of Baby Boomers, Generation X and Generation Y have a name.
Answer: The correct answer is "c. produce a total quantity of output that falls short of the Nash-equilibrium total quantity."
Explanation: When oligopolists act together, it is called collusion. Collusion refers to cooperation between different companies. Companies collude in some way to establish prices and production levels. In this way, they can act as monopolists and establish a high price and a level of production that does not reach the total amount of Nash equilibrium which produces the maximum benefit as a group.
