consumer surplus, producer surplus and the total surplus??

hey quite an easy question la~
let me explain to you!.you can refer the diagram through the website i've attached for you.

So if now the chinese government impose a binding price ceiling on small and medium apartments which means now the market price is set below the market equilbrium In other words, the housing price will be at a lower level than before.

So it will definitely benefit consumers as becaue of this lower price which will then generate an increase in their demand for small medium aparments, therefore consumer new surplus gain will be the peach colour region, and total consumer surplus will nowbe the light pink and the extended section i've just mentioned.

Towards when we look at the supplier side, a deter in the housing price will reduce the producer profit. Before the announcement of the government producer, their surplus was equal to shaded peach+yellow+Blue section, but now after the imposing of the binding pricing, their surplus will drop to the Blue section since it is the result of forcing price reduction and hence eliminating producers supply effect. (Note: Through we can see clearly in here the peachy section of surplus was originally belonging to the supplier has now transferred to the consumer) And the two yellow sections are actually the deadweight loss. Upper lighter yellow triangle show the deadweight loss of consumer since because of the reduction of housing price, supply of quantities of housing have now been reduced ( supply is smaller than demand). The bottom yellow triangle is actually the deadweight loss of producer as now they are supplying less and at a lower cost, hence their profit is now lower.

In simpler terms:
Consumer surplus= Light pink +peachy pink section
Producer surplus= Blue section
Total surplus (sum of consumer and producer surplus) =light pink+ peachy pink +blue section


Hope itz not too complicated for you to underatand!
If you still got any problems concerning about economics, just drop me an email at any me~~

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