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Consider the market for Coca Cola. Demand is given by P = 4 - 0.001Q Supply is given by P = 0.2 + 0.0015Q The
Consider the market for Coca Cola.
Demand is given by P = 4 - 0.001Q
Supply is given by P = 0.2 + 0.0015Q
The government decides to add a tax of $0.08 per can of Coca Cola.
What will be the deadweight loss after the tax is added?
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