Question

of 25 Questions Assignment Score: 09 Hint Question of 25 > uestion 0 uestion 1.pt The table contains the supply and demand schedule for Bluefin tuna. Suppose all countries agree to limit tuna fishing to a total of 15,000 tons per year through a strictly enforced licensing program for fishermen. Price per Pound Quantity Demanded (tons) Quantity Supplied(tons) $11.80 12.000 27,000 $11.35 15,000 24,000 $10.90 18,000 21,000 $10.45 21,000 18,000 $10.00 24,000 15,000 $9.55 27.000 12.000 uestion Attempt 09 uestion Attempt uestion At the new fishing quota, what is the quota rent per pound of Bluefin tuna? $ Jestion OF100 Suppose the average fisherman can catch 200.000 pounds pracy policy le Type here to search II y Sonidioster

Answer 1

Limit the tuna fishing to a total of 15,000 tons per year.

15,000 tons of tuna fish demanded at a price of $11.35 per pound

15,000 tons of tuna fish supplied at a price of $10 per pound.

Quota rent per pound = $11.35 - $10

=> Quota rent per pound = $1.35

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The average fisherman can catch 200,000 pounds of tuna fish per year.

Value of Bluefin Tuna fishing license = $1.35 * 200,000

=> Value of Bluefin Tuna fishing license = $270,000