Discussion Post: Economics
• What is the average willingness to pay for a single song? (Format as $0.00)
• What is the optimal price of a song to generate the most profit? (Format as $0.00)
• How many songs sell at this price? (Format as number)
• At this price, what are the maximum profits of the firm? (Format as $0.00)
• At this price, what proportion of songs with positive value are not sold? (Format as 0.00%)
• For all songs that are sold, how much consumer surplus do consumers keep? (Format as $0.00)
• How much social value is not created? This is also called ‘value of unsold items' or the ‘missing surpluses. (Uncaptured consumer surplus or Total WTP of those consumers who are ready to pay a non-negative price)
The response should include a reference list. One-inch margins, Using Times New Roman 12 pnt font, double-space and APA style of writing and citations.