Suppose the local market for legal services has an upward sloping supply curve, PL = 150 + 0.0001QL where PL is the price of legal services and QL is the number of hours of legal services

If the equilibrium price of legal services is $250 per hour, what is the aggregate economic rent earned by lawyers in this market? A) $50,000
B) $1,000,000
C) $50,000,000
D) $100,000,000

C

Economics

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Is it true that a country needs to have an absolute advantage in the production of a good in order to benefit from trade in that good? Explain

What will be an ideal response?

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Using the information contained in Situation 20-1, if autonomous consumption increases by $100, then equilibrium aggregate output will change by

A) -$1,000. B) -$100. C) $100. D) $1,000.

Economics