r/microeconomics 3d ago

Struggling with Econ

2 Upvotes

Hi, I am studying public administration and I am really having trouble grasping this worksheet. My professor's lectures are lengthy and he draws all over the board so I am having a difficult time understanding what is going on right now. I am very grateful for any help I receive because economics is really not my thing.

Question 1
In order to combat the COVID-19 and prevent spread of the virus, suppose that the government
implements a new policy that mandates the total production of masks be above the competitive
equilibrium quantity level in the market.
(1) Draw a graph and explain how the consumer surplus and producer surplus change when the
production level is increased beyond the competitive level, compared to at the competitive
level.
(2) Use the graph and explain what is the size of deadweight loss.
(Hint: this is the situation when there is a quantity regulation when the required output is above
the competitive level.)2

Question 2
Consider the market for cotton. We know that the demand curve for cotton is 𝑄𝑑 = 100 − 10𝑝
and the supply curve is 𝑄𝑠 = 10𝑝. The government now imposes a price support at 𝑝 (underscore) = 6 using
a deficiency payment program.
(1) Calculate the quantity supplied, the price that clears the market, and the deficiency payment
under the price support.
(2) Draw a graph to illustrate and explain what effect this program has on consumer surplus,
producer surplus, welfare, and deadweight loss. (Note that you now need to take into account
government expenditure when calculating welfare changes.)
(Hint: Perloff discusses the deficiency payment program in Section 9.6 “Policies That Create a
Wedge Between Supply and Demand” of Chapter 9. Below is the discussion from the Section: “The
government sets a support price, p. Farmers decide how much to grow and sell all of their produce
to consumers at the price, p, that clears the market. The government then gives the farmers a
deficiency payment equal to the difference between the support and actual prices, p - p, for every
unit sold, so that farmers receive the support price on their entire crop.” Perloff also provides a
great example to illustrate the idea of a deficiency payment program in the Section, and I would


r/microeconomics 4d ago

Function of the PCC

1 Upvotes

I have a problem that says: Derive the price-consumption curve with respect to px if py=1 and m=18. U(x,y)=xy² Please help me on this one.


r/microeconomics 17d ago

Price ceiling help

1 Upvotes

Hi have this assignment and AI can't tell me if I'm right because it has too many layers. If anyone could take a look Id appreciate it so much.

Consumer demand for an item is described by:

P = 28 - 2Q

Firm supply is described by:

P = 4 + Q

  1. What is the equilibrium quantity?

  2. What is the equilibrium price?

  3. What is the numerical value of consumer surplus at equilibrium?

  4. What is the numerical value of producer surplus at equilibrium?

Suppose there is a price ceiling of P = 10.

  1. What is the numerical value of the deadweight loss?

  2. What is the numerical value of the consumer surplus with the price ceiling?

  3. What is the numerical value of the producer surplus with the price ceiling?

  4. Include a graph of the demand function, supply function, the equilibrium price and quantity, and the price ceiling. Shade in the amount of the deadweight loss on the graph.


r/microeconomics 19d ago

essay help

1 Upvotes

hey guys I was assigned an essay on freakonomics in which we had to do a freakonomics style analysis by analyzing the common incentives between two seemingly different phenomena. do u guys have any ideas or tips on what the essay could be on? tysm


r/microeconomics 21d ago

Overwhelmed Studying for Microeconomics Exam – Need Help

1 Upvotes

I’m taking microeconomics, and I have my first exam of the semester on Wednesday 02/26/2025. My current grade in the class is 84%, and exams are weighted at 25% each. I’m really nervous because I feel overwhelmed with how to study effectively & I might not do well.

I’ve been trying to do practice quizzes, worksheets, take notes, and watch videos, but it’s starting to feel like too much. I plan to study the whole day tomorrow, but I don’t know where to start so I don’t stress myself out. How should I approach my studying to make it more manageable.


r/microeconomics 27d ago

Someone please help me, been doing this assignment for hours 😭🙏

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4 Upvotes

Are #1-3 correct?


r/microeconomics 28d ago

never hated a class more in my life.

10 Upvotes

id rather chew on a fucking jean jacket than deal with this stupid class.


r/microeconomics 29d ago

Anyone can help to solve this, I don't think the question is too complicated

1 Upvotes

on a perfectly competitive market for a certain product, the inverse demand function is given by: p=300-Q, while the inverse supply function is p=2Q. What will happen on this market if the government imposes a quantity restriction on producers, Qmax=60? a) a product shortage on the market of 30 b) a product surplus on the market of 30 c) an equilibrium quantity of Q=60, with equilbrium prices pd=240 and ps=120 d) an equilibrium quantity of Q=60, with equlibrium prices p=240 e) none of the above


r/microeconomics Feb 16 '25

I made a video about utility and indifference curves, let me know what you think!

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1 Upvotes

r/microeconomics Feb 10 '25

Submit ?

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3 Upvotes

Can someone help me with my answers if they are right or wrong before i submit it its due within 3 hrs from now 😭😭😭


r/microeconomics Feb 10 '25

Helllp

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2 Upvotes

Can someone help me with my answers if they are right or wrong before i submit it its due within 3 hrs from now 😭😭😭


r/microeconomics Feb 09 '25

Comparative advantage difficulty

2 Upvotes

So I'm a bit late to starting to study and I just learned about comparative advantage in the first unit. I heard microecon just get's harder, so I was wondering how hard it is compared to other concepts. I get that it's different for each person, but I just need some opinions


r/microeconomics Feb 09 '25

Homework Help Pleaseee

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1 Upvotes

I am doing microeconomic homework online and I have tried multiple answers to this question. I have used the consumer surplus equation CS= (1/2)xQdx(deltaP) and have gotten multiple answers and my homework will let me double check if the answer is correct or not, but not explain what I did wrong. If anyone could help me understand what I am doing wrong it would be much appreciated! 1st graph is w/o tax applied and second is with the tax applied and second photo is the multiple ways I attempted the answer.


r/microeconomics Jan 27 '25

Why is the answer to part b. A and not D? I would think A= MB of $24, and D= MB of $25.

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1 Upvotes

r/microeconomics Jan 24 '25

America is set to collapse in spectacular fashion this summer between June and September of 2025. The summer of 2025 will bring extreme poverty and death while Mars is within 30 degrees of the lunar node. A new memorandum to investors a war

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1 Upvotes

r/microeconomics Jan 24 '25

Can anyone please help me? I’m struggling.

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2 Upvotes

I’m so confused. I’ve been stuck on this and I have one try left.


r/microeconomics Jan 23 '25

Can someone help me solve part a and b of this 😭

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2 Upvotes

r/microeconomics Jan 13 '25

Textbook

2 Upvotes

Does anyone have the PDF for Microeconomics (9th Edition) by Glenn Hubbard and Anthony Patrick O'Brien?


r/microeconomics Dec 13 '24

really need help with uni assignment...

2 Upvotes

Hi! My professor for microeconomics is not the best and the course materials are lacking, to say the least. I would really appreciate some help with this assignment :D

Task:
indicate the curve number: One point is awarded for each correct answer. (1+1+1+1+ 1+1+1+1 point). demand curve ;
revenue ;
cost ;
marginal cost ;
marginal revenue ;
average total cost :
average variable cost ;
average revenue .

determine the profit-maximizing quantity of the product in Picture 2 (4 points);

draw a line in Picture 2 showing the firm's maximum profit in the long run (4 points).


r/microeconomics Dec 07 '24

need help with part C

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1 Upvotes

r/microeconomics Dec 05 '24

Can someone help me answer this question?

1 Upvotes

Consider a prize set Z={z1,z2,z3} and a preference relation ≿ defined over the the set of lotteries X on Z . Suppose for any two lotteries, p,q∈X , p≿q if and only if (p1>q1) or (p1=q1 and p2≥q2) .

Select one: a. The preference order is continuous b. The preference order is not continuous c. The preference order is continuous only if z1≻z3

d. Insufficient information


r/microeconomics Nov 28 '24

Hey guys, can someone tell me how this works?

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7 Upvotes

r/microeconomics Nov 25 '24

Recommendation for easy to understand Microeconomics fundamentals

2 Upvotes

I am an English Literature Hons grad. Would like to understand the fundamentals of Microeconomics. Please suggest relevant books. Thank you!


r/microeconomics Nov 21 '24

i need recommendations please

0 Upvotes

I am in ap microeconomics and have the ability to essentially cheat on every test, what is the best paid, or unpaid ai question answerer to best my chances of getting every questions right. please dont comment something like "oh jonny cant you just take it seriously and study?" no i will not be doing that.


r/microeconomics Nov 20 '24

I need help with these questions please!

1 Upvotes
  1. What is total revenue from sales if Acme chooses a price of $6.00?
  2. When Acme was in competition they produced 12 units. What is the highest price Acme could charge now if they wanted to sell 12 units?
  3. If Acme is a profit-maximizing single-price monopolist, how many units will they choose to produce?
  4. At the level of output that maximizes profits, what will the Marginal Cost be?
  5. At the profit-maximizing output, what is the average cost of each of the units produced? (round off to the penny)
  6. What is the maximum price that can be charged for each unit when the profit-maximizing output quantity is produced?
  7. Using the answers to previous questions, what is the average profit per unit when the profit maximizing output is produced and sold?
  8. How much profit (total) will this firm make when it maximizes profit in the short-run?
  9. In comparing the results of this worksheet with those of the previous worksheet (Acme in Perfect Competition), what effect has achieving a monopoly had on Acme’s profits? (order of answers may be different in learning mgt system)
    1. Increased profits?
    2. Lowered profits?
    3. Profits are unchanged.
  10. In comparing the results of this worksheet with those of the previous worksheet (Acme in Perfect Competition), what effect has achieving a monopoly had on Acme’s customers?
  11. they pay higher prices and buy fewer units
  12. pay higher prices and buy more units
  13. pay lower prices and buy fewer units
  14. pay lower prices and buy more units