--%>
Assignment Help - homework help

Consumer Surplus-Difference in amounts

Kiley pays $1.00 for the cold Pepsi on a hot afternoon, however would be willing to pay $5.00. The $4.00 difference in such amounts is her: (i) Consumer surplus. (ii) Income effect. (iii) Economic gain. (iv) Marginal utility. (v) Pleasure coefficient.

Can someone please help me in finding out the accurate answer from the above options.

   Related Questions in Microeconomics

  • Q : Income elasticity of demand when

    When average income rises from $18,000 to $22,000 yearly and yearly gasoline consumption per household increases from 1000 to 1500 gallons, in that case the income elasticity of demand for gas is: (1) in the inferior range. (2) 0.5. (

    		•
  • Q : Unitarily elastic demand by fixing all

    A monopolist who does not price discriminate, that is: (w) cannot maximize profit by producing where demand is unitarily elastic. (x) will maximize profit where demand is unitarily elastic when all costs are fixed. (y) will maximize profit where deman

    		•
  • Q : Price elasticity of demand when price

    When diet faddists gulp 205 million unsweetened as “No-Carb” milkshakes of $2.30 apiece, if cut back to 155 million per week while the price rises to $3.70 every, the price elasticity of their demand for shakes equivalents

    		•
  • Q : Define fixed cost Fixed cost : Fixed

    Fixed cost: Fixed costs refer to cost that remains constant as output modifies. For example: rent

    		•
  • Q : Scope of Economies I have a problem in

    I have a problem in economics on Scope of Economies. Please help me in the following question. Whenever the production of one good (example: milk) decreases the production costs of complementary products (that is, butter and cheese), a firm is capable

    		•
  • Q : Price elasticity of demand-price falls

    The quantity dinner salads demanded is 100 everyday while Café Les Gourmands charges a price of $1.80, although when price drops by $1, quantity demanded is one hundred fifty. The price elasticity of demand for dinner salads at such restaurant

    		•
  • Q : Profit or loss in purely competitive to

    When the wholesale price P = $5 per dozen roses, this purely competitive rose farm maximizes profit through producing ___ dozen roses at a total (loss or profit) of $___. (1) zero; loss; $2000. (2) 2000; loss; $1500.

    		•
  • Q : Why is the ATC bigger than AVC Why is

    Why is the ATC bigger than AVC? Answer: ATC is bigger than AVC since ATC comprises AVC and AFC

    		•
  • Q : Monopolistic competition in market power

    A firm which has some market power but for that long-run profit is prevented by freedom of entry and exit is engaged within: (1) pure monopoly. (2) pure oligopoly. (3) monopolistic competition. (4) socially responsible behavior. (5) pure competition.<

    		•
  • Q : Yellow Dog Contracts-non-union

    The worker who signed a yellow dog contract in the year 1920s agreed: (i) To support the union’s feather-bedding efforts. (ii) Not to work with the ‘scab’ non-union strike-breakers. (iii) To pay the union dues as protection from the violent union org

    		•