Let’s think about the demand for plasma TVs.

a. If the price for a 500 plasma TV is $2,010, and Newhart would be willing to pay

$3,000, what is Newhart’s consumer surplus?

b. Consider the figure below for the total demand for plasma TVs. At $2,010 per TV, 1,200 TVs were demanded. What would be the total consumer surplus? Calculate the total and identify it on the diagram. pg53

c. Where is Newhart in the figure above?

Transcribed Image Text:

Price $5,000 Demand for plasma TVs 2,010 1,200 Quantity