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Good A's supply curve is given by P=X and demand curve by P=10-X. a) What is the consumer surplus ? b) What is the producer
Good A's supply curve is given by P=X and demand curve by P=10-X.
a) What is the consumer surplus ?
b) What is the producer surplus?
c) What is the DWL when a tax of $2 is imposed?
d) what is the tax revenue generated by a tax of $2
e) What is the market shortage when a price ceiling of $7 is imposed?
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