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Suppose that the market for basic laptops is highly competitive with a demand curve following the equation Q=8-0.002P and a supply curve following the equation
Suppose that the market for basic laptops is highly competitive with a demand curve following the equation Q=8-0.002P and a supply curve following the equation Q=2+0.003P. (In both equations P is measured in dollars per laptop and Q is measured in millions of laptops.) Suppose that the government decides that the market price of laptops is simply too high and so sets a price ceiling of P=$1000. In each blank below enter a number and only a number. No words or symbols. Do not round at any point in any calculation. Do not round your answers. With this price ceiling in place, the number of laptops that will be sold is: 5 million The change in consumer surplus (comparing the market without a price ceiling to the market with a price ceiling) is: $ 910 million (Note: If you think the price ceiling causes CS to go up, enter your answer as a positive number. If you think CS goes down, enter it as a negative number.) The overall deadweight loss from this price ceiling is: $ 150 million
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