Scenario 12-1
Skip places a $20 value on a bottle of wine, and Walt places a $17 value on it. The equilibrium price for a bottle of wine is $15.
-Refer to Scenario 12-1.How much total consumer surplus do Skip and Walt get when each purchases one bottle of wine?

Question

Quizplus · Accepted Answer

Skip gets a consumer surplus of $5 ($20 value - $15 price), and Walt gets a consumer surplus of $2 ($17 value - $15 price). The total consumer surplus is $5 + $2 = $7.

Scenario 12-1 Skip Places a $20 Value on a Bottle of Wine