Figure 10-3

Bettye Babylon does not charge admission to her arboreal estate, the Hanging Gardens. Due to space limitations, Bettye only allows 200 visitors per day at her estate. The figure represents the supply and demand for admission to the Hanging Gardens.
-Refer to Figure 10-3.The economically efficient price to charge for admission to the Hanging Gardens is

Question

Figure 10-3
  
Bettye Babylon does not charge admission to her arboreal estate, the Hanging Gardens. Due to space limitations, Bettye only allows 200 visitors per day at her estate. The figure represents the supply and demand for admission to the Hanging Gardens.
-Refer to Figure 10-3.The economically efficient price to charge for admission to the Hanging Gardens is

Quizplus · Accepted Answer

The economically efficient price is the price that maximizes the total surplus (consumer surplus plus producer surplus). At a price of $10, the total surplus is maximized.

Figure 10-3 Bettye Babylon Does Not Charge Admission to Her Arboreal Estate