The owners of DePuy's Spring Creek, a world class stream south of Livingston, MT, are considering closing off fishing access entirely next year while they work on repairing stream bed habitat. Consider Jan, an avid fisherman who fishes DePuy's frequently. On average, it costs Jan $100/day to fish at DePuy's (assume this includes all costs, i.e. access fee, forgone wages, gas, etc.). Jan's MV schedule for days spent fishing DePuy's is as follows: # of days 1 2 3 4 5 6 7 8 9 10 11 12 MV 500 270 175 150 120 100 90 60 50 30 15 0 a.) (5 points) If the access remains open, how many days would Jan fish this season? What would his total expenditures be? b.) (10 points) Now assume access is closed and Jan can no longer go fishing at DePuy's (note: we are also making the simplifying assumption that Jan has no substitute fishing locations available to him). What is Jan's loss in surplus? 4.) A typical estimate for the elasticity of demand for Hot Tamales is -3. a.) (5 points) What does this say about peoples' willingness to substitute to other types of candies? b.) (5 points) Due to a government subsidy program for sugar, the marginal cost of producing a box Hot Tamales has gone down. As a result, the price of a box of Hot Tamales has gone down from $1.50 to $1.00. What is the percent change in the quantity demanded?