Suppose that Tim, an excellent high school basketball player, is being recruited by Duke university (that is, duke is the consumer in this example). NCAA rules prevent universities from compensating student athletes more than the full cost of tuition. Assume that recruiting for college athletes is organized under a perfectly competitive environment.

The following graph shows the suppose of and demand for Tims athletic services. Suppose that dukes annual tuition is $33,000 (the amount of scholarship money or the wage" Tim receives in exchange for playing at duke).

Shade the area representing dukes consumers surplus using the green point (triable symbol). Then shake the area representing Tims total wage revenue using the purpose point. (diamond symbol)

Question 2) Suppose that Tim, an excellent high school basketball player, is being recruited by Duke University (that is, Duke is the consumer in this example). NCAA rules prevent universities from compensating student athletes more than the full cost of tuition. Assume that recruiting for college athletes is organized under a perfectly competitive environment. The following graph shows the supply of and demand for Tim's athletic services. Suppose that Duke's annual tuition is $33,000 (the amount of scholarship money, or the "wage," Tim receives in exchange for playing at Duke). Shade the area representing Duke's consumers' surplus using the green point (triangle symbol). Then shade the area representing Tim's total wage revenue using the purple point (diamond symbol). Tim's Athletic Services Demand Supply 60 A 54 CS 48 WAGE (Thousands of dollars) 42 Total Wage 38 Tuition 30 24 18 12 ATHLETIC SERVICES