The Maxwell School
Syracuse University
Syracuse University
Here are some practice problems that involve calculating producer surplus. You can check your work via the solution link below each one.
A seller's individual willingness to accept for a good is given by the equation:
WTA = 100 + 5*Q
If the price of the good is $250, how many units would he sell and what would be his producer surplus?
Suppose 20 identical sellers each have a willingness to accept curve given by the equation below, where i indicates seller i:
WTAi = 5 + 0.1*Qi
If the price of the product is $12, what is the producer surplus received by an individual seller? What is the total producer surplus received by the group?