Question: Using the previous graph, you can determine that Yakov is willing to supply his 2 nd weekly cupcake for . Since he receives $ 2

Using the previous graph, you can determine that Yakov is willing to supply his 2nd weekly cupcake for . Since he receives $2.50 per cupcake, the producer surplus earned from supplying the 2 nd cupcake is
Suppose the price of gourmet cupcakes were to rise to $3.00 per cupcake. At this higher price, Yakov would receive a producer surplus of from the 2 nd cupcake he sells.
The following graph plots the weekly market supply curve (orange line) for gourmet cupcakes in a hypothetical small economy.
Use the purple point (diamond symbol) to shade the area representing producer surplus (PS) when the price (P) of gourmet cupcakes is $2.50 per cupcake. Then, use the green point (triangle symbol) to shade the area representing additional producer surplus when the price rises to $3.00 per cupcake.
Using the previous graph, you can determine that

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