If Smith earns $100,000 in surplus value when he sells oranges at the market and if the total surplus value created by trade is split 25-75 between seller and buyer in each transaction, then how much surplus value do consumers who buy oranges from Smith receive in the market?

Question

Business

Juliana Burns

29 May, 11:33

If Smith earns $100,000 in surplus value when he sells oranges at the market and if the total surplus value created by trade is split 25-75 between seller and buyer in each transaction, then how much surplus value do consumers who buy oranges from Smith receive in the market?

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Answers (1)

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Lorenzo Dean · Answer 1

how much surplus value do consumers who buy oranges from Smith receive in the market?

$300000

Explanation:

Smith earns $100000 25% seller

$300000 75% buyer