Answer to Question #135923 in Macroeconomics for angela

Question #135923
Deltra was willing to purchase a dozen cookies for $60 that Deirdre was willing to sell for anything more than $32. If they agreed on a price of $36, how much total value was created in this exchange?
1
Expert's answer
2020-10-02T06:34:03-0400

Calculation of the total value created in exchange is as shown below:-

Deltra Surplus is

"purchase value - Agreed Price"

"=\\$ 60-\\$ 36"

=$24

Deirdre Surplus is

= "Agreed Price -Willing to sell"


"=\\$ 36 - \\$ 32"

=$4


Now total value created is

"Deltra surplus +Deirdre surplus"

"=\\$ 24+\\$ 4"


=$28

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