Look at Tables 4.1 and 4.2 together. What is the total surplus if Bob buys a unit from Carlos? If Barb buys a unit from Courtney? If Bob buys a unit from Chad? If you match up pairs of buyers and sellers so as to maximize the total surplus of all transactions, what is the largest total surplus that can be achieved?

TABLE 4.1 Consumer Surplus

TABLE 4.2 Producer Surplus

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(2) (3) Maximum Actual Price (4) Price Willing to Pay (1) (Equilibrlum Price) Consumer Person Surplus $5 (= $13 – $8) $13 $8 Bob Barb 4 (= $12 – $8) 12 3 (= $11 – $8) 2(= $10 – $8) Bill 11 Bart 10 1 (= $ 9- $8) 0(= $ 8- $8) Brent Betty 00 00 00 00 00 (2) (3) Minimum Actual Price (4) (1) Person Acceptable Price (Equilibrium Price) Consumer Surplus $5 (= $8 – $3) 4 (= $8 – $4) Carlos $3 $8 Courtney 4 3 (= $8 – $5) 2 (= $8 – $6) Chuck Cindy Craig 1 (= $8 – $7) Chad 0(= $8 – $8) 00 00 00