(2022 Spring Final (234-38) The market demand and supply of casino service are described by the following equations. Demand: P = 845 0.30 per unit of casino service Supply: P = 0.20 + 220 per unit of casino service Because of the health problems associated with gambling, for each unit of casino service produced, an external cost of 265 dollars is generated. On the other hand, because of the positive spillover effect to the economy, the marginal external benet is 0.1 50+ 265 dollars when Q units of casino services are consumed. (a) From the information, the unregulated market equilibrium price is dollars per unit of casino service and equilibrium quantity is 1250 units of casino service. a! (b) The total economic welfare to the society at the market equilibrium level of casino service is 50781 dollars. f (c) The socially efficient quantity of casino service is E units. X (d) Without any government intervention, the welfare loss to the society will be dollars when compared to the socially efficient outcome. (e) In order to induce the market to produce at the socially efficient quantity, it is optimal for the government to impose a O a. tax 0 b. subsidy O c. price ceiling Q d. price floor of dollars per unit of casino service