Figure: Consumer Surplus ||l Price of book 559 012345 Quantity of books Reference: Ref 4-23 Figure: Consumer Surplus I\" (Figure: Consumer Surplus III) In the figure Consumer Surplus III, when the price falls from $30 to $25, consumer surplus _____ for a total consumer surplus of _____ . O a) increases by $15; $64 0 b) increases by $25; $74 0 C) decreases by $15; $34 0 d) increases by $5; $54 Table: Demand for Crude Oil Price Total Quantity (S/barrel) Revenue (S) $160 SO 10 150 1500 20 140 2800 30 130 3900 40 120 4800 50 110 $500 60 100 6000 70 90 6300 80 80 6400 90 70 6300 100 60 6000 110 50 5500 120 40 4800 130 30 3900 140 2800 150 1500 160 0 Reference: Ref 14-4 Table: Demand for Crude Oil (Table: Demand for Crude Oil) Use Table: Demand for Crude Oil. Assume that the crude oil industry is a duopoly and the marginal and fixed costs of producing crude oil equal zero. Suppose that the two firms are maximizing industry profit and splitting the profit evenly. If both firms engage in noncooperative behaviour, the industry output will be _ -__ barrels, and the price of crude oil will be. a) 100; $60 ( b) o; $160 c) 80; $80 ( d) 160; $0Table: Prices and Demand Quantity of Hats Price Demanded per Hat $30 28 26 AWN 24 22 20 18 16 14 Reference: Ref 13-9 Table: Prices and Demand (Table: Prices and Demand) Use Table: Prices and Demand. The Toronto Maple Leafs have a monopoly on Leafs logo hats. The marginal cost of producing a hat is $18. How much is consumer surplus at the Leafs' profit-maximizing output? ( a) $24 ( b) $18 O c) $9 O d) $12Table: Demand Schedule of Gadget Price of Quantity of a Gadget Gadgets Demanded $10 0 9 100 8 200 7 300 6 400 5 500 4 600 3 700 2 800 1 900 0 1000 Reference: Ref 141 Table: Demand Schedule of Gadgets (Table: Demand Schedule of Gadgets) Use Table: Demand Schedule of Gadgets. The market for gadgets consists of two producers, Margaret and Ray. Each firm can produce gadgets with no marginal cost or fixed cost. If industry output is 350 gadgets produced by Margaret and 250 gadgets produced by Ray and if Ray decides to increase output by an additional 100 gadgets, industry output will be: 0 a) 400. O b) 600. O C) 700. Q d) 500. Figure: City with Two Polluters Marginal benefit to individual producer $1100 1000 MBB 900 800 700 60 500 MBA 400 300 200 100 0 200 600 1000 1400 1800 2200 Quantity of pollution emissions (tonnes) Reference: Ref 16-6 Figure: City with Two Polluters (Figure: City with Two Polluters) Use Figure: City with Two Polluters. If the government issued licenses to emit a total of 1 600 tonnes of pollution, the market price to emit 1 tonne of pollution would equal: ( a) $400. ( b) $100. ( c) $200. ( d) $300.Figure: Pollution and Efficiency Price per unit $25 and marginal cost 0 1o 20 30 an 50 60 Emissions (per period) Reference: Ref 16-1 Figure: Pollution and Efciency (Figure: Pollution and Efficiency) Use Figure: Pollution and Efficiency. In this market, in which sulphur emissions are a result of production, if _____ units of emissions are produced, then _____ . Q a) 40; M53 = MSC O b) 40; M53 $25;30 (:)C)$15;15 (:)d)$15;30