Suppose there are only three consumers in the market for a particular good. The quantities demanded by
Question:
Suppose there are only three consumers in the market for a particular good. The quantities demanded by each consumer at each price between $1 and $9 are shown in the following table:a. Using the following axes, draw the demand curve for each of the three consumers. Label the three curves D1, D2, and D3, respectively.b. Fill in the blanks in the table for the market quantity demanded at each price.c. Construct the market demand curve in the graph, and label it DM.
d. Construct the marginal benefit curve in the graph, and label it MB.e. What is the marginal benefit of the 180th unit?f. Is the marginal benefit the same for all consumers when 180 units are consumed? Explain.
Step by Step Answer:
Managerial Economics Foundations of Business Analysis and Strategy
ISBN: 978-0078021909
12th edition
Authors: Christopher Thomas, S. Charles Maurice