Question :
41.Assume there three hardware stores in the market for hammers : 1379024
41.Assume there are three hardware stores in the market for hammers and that all three markets produce a single, standard model hammer. House Depot is an enormous mass producer of hammers and can offer a hammer for sale for a minimum of $7. Lace Hardware is a franchise and can offer the hammer for sale for a minimum of $10. Bob’s Hardware store is a family owned and operated, independent hardware store and can offer hammers at a minimum price of $13.
Given the scenario described, if the market price of hammers increased from $6 to $7:
A. total producer surplus would increase.
B. total producer surplus would remain unchanged.
C. total producer surplus would decrease.
D. Total producer surplus cannot be determined with the information given.
42.Assume there are three hardware stores in the market for hammers and that all three markets produce a single, standard model hammer. House Depot is an enormous mass producer of hammers and can offer a hammer for sale for a minimum of $7. Lace Hardware is a franchise and can offer the hammer for sale for a minimum of $10. Bob’s Hardware store is a family owned and operated, independent hardware store and can offer hammers at a minimum price of $13.
Given the scenario described, if the market price of hammers increased from $6 to $8:
A. producer participation in the market would increase.
B. producer participation in the market would decrease.
C. producer participation in the market would remain unchanged.
D. total producer surplus would increase by $2.
43.Assume there are three hardware stores in the market for hammers and that all three markets produce a single, standard model hammer. House Depot is an enormous mass producer of hammers and can offer a hammer for sale for a minimum of $7. Lace Hardware is a franchise and can offer the hammer for sale for a minimum of $10. Bob’s Hardware store is a family owned and operated, independent hardware store and can offer hammers at a minimum price of $13.
Given the scenario described, if the market price of hammers increased from $8 to $11:
A. total producer surplus would increase by $3.
B. total producer surplus would increase by $6.
C. total producer surplus would increase by $9.
D. total producer surplus would increase by $4.
44.Assume there are three hardware stores in the market for hammers and that all three markets produce a single, standard model hammer. House Depot is an enormous mass producer of hammers and can offer a hammer for sale for a minimum of $7. Lace Hardware is a franchise and can offer the hammer for sale for a minimum of $10. Bob’s Hardware store is a family owned and operated, independent hardware store and can offer hammers at a minimum price of $13.
Given the scenario described, if the market price of hammers increased from $8 to $11:
A. total producer surplus would increase to $5.
B. total producer surplus would decrease to $1.
C. total producer surplus would increase to $17.
D. total producer surplus would decrease to $7.
45.Assume there are three hardware stores in the market for hammers and that all three markets produce a single, standard model hammer. House Depot is an enormous mass producer of hammers and can offer a hammer for sale for a minimum of $7. Lace Hardware is a franchise and can offer the hammer for sale for a minimum of $10. Bob’s Hardware store is a family owned and operated, independent hardware store and can offer hammers at a minimum price of $13.
Given the scenario described, if the market price of hammers increased from $9 to $13:
A. producer surplus would increase for each producer.
B. producer surplus would increase only for House Depot.
C. producer surplus would remain unchanged for Bob’s Hardware.
D. producer surplus would increase by $4 for Lace Hardware.
46.Assume there are three hardware stores in the market for hammers and that all three markets produce a single, standard model hammer. House Depot is an enormous mass producer of hammers and can offer a hammer for sale for a minimum of $7. Lace Hardware is a franchise and can offer the hammer for sale for a minimum of $10. Bob’s Hardware store is a family owned and operated, independent hardware store and can offer hammers at a minimum price of $13.
Given the scenario described, if the market price of hammers increased from $8 to $12, total producer surplus would:
A. increase from $8 to $12.
B. increase by $4 for each producer.
C. increase by $4 for House Depot.
D. All of these statements are true.
47.Assume there are three hardware stores in the market for hammers and that all three markets produce a single, standard model hammer. House Depot is an enormous mass producer of hammers and can offer a hammer for sale for a minimum of $7. Lace Hardware is a franchise and can offer the hammer for sale for a minimum of $10. Bob’s Hardware store is a family owned and operated, independent hardware store and can offer hammers at a minimum price of $13.
Given the scenario described, if the market price of hammers increased from $9 to $12, total producer surplus would be:
A. $3.
B. $6.
C. $7.
D. $17.
48.Assume there are three hardware stores in the market for hammers and that all three markets produce a single, standard model hammer. House Depot is an enormous mass producer of hammers and can offer a hammer for sale for a minimum of $7. Lace Hardware is a franchise and can offer the hammer for sale for a minimum of $10. Bob’s Hardware store is a family owned and operated, independent hardware store and can offer hammers at a minimum price of $13.
Given the scenario described, if the market price of hammers increased from $8 to $14, total producer surplus would:
A. increase from $8 to $14.
B. increase from $1 to $12.
C. decrease from $14 to $8.
D. increase from $7 to $30.
49.Assume there are three hardware stores in the market for hammers and that all three markets produce a single, standard model hammer. House Depot is an enormous mass producer of hammers and can offer a hammer for sale for a minimum of $7. Lace Hardware is a franchise and can offer the hammer for sale for a minimum of $10. Bob’s Hardware store is a family owned and operated, independent hardware store and can offer hammers at a minimum price of $13.
Given the scenario described, if the market price of hammers increased from $9 to $13:
A. House Depot’s producer surplus would increase by $4.
B. Lace Hardware’s producer surplus would increase by $3.
C. Bob’s Hardware’s producer surplus would remain unchanged.
D. All of these statements are true.
50.
According to the graph shown, total surplus is area:
A. A + B + C.
B. B.
C. A.
D. A + B.
