Changes

6.  Suppose you decide you could profitably set the price for a homeschool dinner event at $15 per ticket, and it would have attracted 150 people.  You also determine that 50 out of the 150 people who would have attended would have paid $20 per ticket and 10 out of the 150 would have paid $25 per ticket, and 5 out of the 150 would have paid $30 per ticket, because they would have enjoyed and benefited so much from it.  However, this homeschool dinner event was never held because no one "got around to it."  What is the loss in wealth or consumer surplus due to the fact that the event was ''not'' held?

6.  Suppose you decide you could profitably set the price for a homeschool dinner event at $15 per ticket, and it would have attracted 150 people.  You also determine that 50 out of the 150 people who would have attended would have paid $20 per ticket and 10 out of the 150 would have paid $25 per ticket, and 5 out of the 150 would have paid $30 per ticket, because they would have enjoyed and benefited so much from it.  However, this homeschool dinner event was never held because no one "got around to it."  What is the loss in wealth or consumer surplus due to the fact that the event was ''not'' held?

7.  Explain what the "CPI" is, or discuss something you found interesting about the history of money.

7.  Explain what the "CPI" is, and why the real price of a good is decreasing if its price remains constant while the CPI increases from year-to-year.  An example of this might be the real rprice of laptop computers from 2012 to 2013.

===Honors===

===Honors===

Begin studying for the midterm exam and also answer any 3 out of the following 4 questions:

Begin studying for the midterm exam and also answer any 3 out of the following 4 questions:

8. Explain what the Producer Surplus is, and provide an example

8. Explain what the Producer Surplus is, and provide an example.

9. Suppose the underlying ''labor'' market is perfectly competitive, but there is a minimum wage above the market rate.  Then suppose that the supply of labor increases.  Explain what the result is and why.

9. Suppose the underlying ''labor'' market is perfectly competitive, but there is a minimum wage above the market rate.  Then suppose that the supply of labor increases.  Explain what the result is and why.