Consider the average weight among pre-teens is becoming concerning in a relatively small locale. The local...

 

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Consider the average weight among pre-teens is becoming concerning in a relatively small locale. The local government believes that the food options available to teenagers explains part of the health outcome observed. With a desire to address this health issue, the government imposes a price floor in market for a particular drink. (NOT FOR SALE DO NOT COPY) (NOT FOR SALE. DO NOT COPY) The market demand for this drink in the is locale is described by the equation: Qp = 740 - 80P where Qp represents the number of bottles of this drink demanded per week. Since this drink is sold at supermarkets, wholesale grocery stores, and community convenience stores (including at gas stations), the price paid per bottle varies with the type of store. To account for this variation, P represents the average price for a bottle of this particular drink. The market supply of this particular drink is described the equation: Qs = - 15 + 20P, where Qs represents the number of bottles supplied per week. (NOT FOR SALE DO NOT COPY) (Question 5 of 6) What is the current producer surplus in the market? (report your answer up to 2 decimal places in the space provided) Consider the average weight among pre-teens is becoming concerning in a relatively small locale. The local government believes that the food options available to teenagers explains part of the health outcome observed. With a desire to address this health issue, the government imposes a price floor in market for a particular drink. (NOT FOR SALE DO NOT COPY) (NOT FOR SALE. DO NOT COPY) The market demand for this drink in the is locale is described by the equation: Qp = 740 - 80P where Qp represents the number of bottles of this drink demanded per week. Since this drink is sold at supermarkets, wholesale grocery stores, and community convenience stores (including at gas stations), the price paid per bottle varies with the type of store. To account for this variation, P represents the average price for a bottle of this particular drink. The market supply of this particular drink is described the equation: Qs = - 15 + 20P, where Qs represents the number of bottles supplied per week. (NOT FOR SALE DO NOT COPY) (Question 5 of 6) What is the current producer surplus in the market? (report your answer up to 2 decimal places in the space provided)

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To find the consumer surplus we need to find the area between the demand ... View the full answer