Question
There are 8 potential hot dog consumers, and 8 potential hot dog producers. Each consumer will only ever want a single hot dog, and each
There are 8 potential hot dog consumers, and 8 potential hot dog producers. Each consumer will only ever want a single hot dog, and each producer will only ever be able to make a single hot dog. Below is a list of consumers and producers, with their willingness to pay/accept to trade. Consumer with their WTP -Chestnut 62 Esper 49 Webb 47 Wehry 45 Weaver 41 Oji 36 Zosan 29.75 Suzuki 29.5 Producer with their- WTA Nathan's 26 Portillo's 31 Oscar Meyer 31 Niman Ranch 36 Hebrew National 41 Sabrett 45 Hilshire Farms 50 Field Roast 55 (a) What is the equilibrium price and quantity in this market? (b) At the market equilibrium, who will be the marginal consumer in this market? Who will be the marginal producer? (c) What will the consumer surplus be in this market? (d) What will the producer surplus be in this market?
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