Discussion:
1.Using the information below about individuals and their willingness to pay for a bottle of ginger ale, calculate the total consumer surplus at a market price of $5.
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Maximum amount a buyer would pay for ginger ale
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Scott
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$10
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Dennis
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$4
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Greg
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$8
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Dave
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$7
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Mike
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$5
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Using the information below about willingness to supply ginger ale, calculate the total producer surplus at a market price of $5.
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Marginal cost of producing ginger ale
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Gene
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$6
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Brandon
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$3
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Matt
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$2
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Cooper
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$11
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Jed
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$5
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How do your answers change if the price falls to $2?