AGEC 105 EQ #9 October 16, 2013 This EQ is worth 3 points.

Question 1 Given the market supply schedule below: (1pt) (a) Calculate the own-price elasticity of supply between points C and D. Show all work. (1/2pt) (b) Characterize the magnitude of the own-price elasticity of supply – elastic, inelastic, or unitary elastic. Point Price Quantity Supplied A 1 2 B 3 C 6 D 4 8

Question 2 Consider the following diagram: (1/2pt) (a) On the basis of this diagram, producer surplus is equal to $___________ million. (1/2pt) (b) Another term for producer surplus is _____________. P S $4 $2 30 Q (million)

Question 3 (1/2pt) Given the diagram below, define Pe and Qe. Psoybeans S Pe D Qe Qsoybeans

Random Question: Name one of the three economists who were awarded the Nobel Prize in 2013.