04 Jun 82 responses (72 unread) Assume that you were ready to buy a cust
Question
Unit 5: Surplus – Discussion
Throughout this course, many discussion opportunities come up where you need to respond to other people’s opinions and comments. Then respond to your Discussion topic after you have completed your Reading.
TOPICS
TOTAL (#UNREAD)
Tailored Clothes
82 responses (72 unread)
Assume that you were ready to buy a custom tailored Dress (or men’s suit) and you are prepared to pay up to $200 for it. Also assume that the tailor is prepared to sell that item of clothing for as little as $100.
When you arrive at the tailor shop, the posted price for the item is $150. Discuss how this scenario relates to producer and consumer surplus and how such surpluses, if any, affect buying and manufacturing decisions
Discuss any recent purchases you have made and for which you feel that a similar rational seemed to be at work.
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