1. What is the difference between the concepts of consumer surplus and producer surplus.

2. Explain and give and example of the concept of economic efficiency.

3. What is the economic effect of government-imposed price floors and price ceilings.

4. Give an example of Government Intervention in the Market: Price Floors and Price Ceilings.

5. Answer the following question: Ticketmaster has begun to offer "paperless" entry as an alternative to physical tickets for concerts by music superstars such as Garth Brooks, Miley Cyrus, and Justin Bieber. These performers and professional sports teams have begun adopting "paperless ticketing" for some or all of the seats sold for their performances. One motive for paperless ticketing is to prevent "scalpers" from buying up and reselling tickets at prices higher than those charged by promoters and team owners. Fans buy paperless tickets with their credit cards and gain admittance to the events by showing their credit cards and photo IDs. Ticketmaster and other companies that specialize in selling tickets for events endorse this as a way for consumers to avoid waiting in line and losing tickets. But StubHub.com and other companies that are in the business of helping people resell tickets online oppose paperless tickets. Gary Adler, a representative for the National Association of Ticket Brokers, argues: "People should be free to give away or sell their tickets to whomever they want, whenever they want . . . An open market is really best for consumers."

Sources: Adam Vaccaro, "From Concert Goers to Big Business Concerns, Inside the Fight Over Paperless Tickets," Boston.com, January 10, 2015; and Paul Farhi, "'Paperless ticketing' aims to thwart scalping at concerts, sports events," Washington Post, July 5, 2010.

Question: Does paperless ticketing benefit consumers more than traditional ticketing that allows tickets to be resold?