Recall the Application about the reason for the high price of movie popcorn to answer the following question(s).
-Recall the Application. Suppose a low demander is willing to pay $8 for a movie, while a high demander is willing to pay $12 for a movie and popcorn. If the theater charged $8 for admission and $2 for popcorn, the low demander would receive a consumer surplus of ________, and the high demander would receive a consumer surplus of ________.

Question

Quizplus · Accepted Answer

The low demander would pay exactly what they are willing to pay for the movie ($8), resulting in a consumer surplus of $0. The high demander is willing to pay $12 for both the movie and popcorn, but ends up paying $10 ($8 for the movie and $2 for popcorn), resulting in a consumer surplus of $2.

Recall the Application About the Reason for the High Price