lassroom experiment structural elements. Consider the market created by dis- tributing the following 20 playing cards to subjects: Heart Ace, 2, ..., 10, and Spades Ace, 2, 3, ..., 10. The red cards (Hearts) are the costs for the sellers, while the black cards (spades) are the values for the buyers, the Aces representing 1s.

Suppose all the hearts cards were given to a single (monopolist) seller. What price would the monopolist charge? Which value buyers would purchase? Which units (i.e. seller cards) would be sold? How much surplus is created in this case?