How are the following attached questions set up and computed, needing assistance figuring out how to set up / what formulas to use

Name: UIN: Problem Set #2 (50 Points) AGEC 429 Due Date: Tuesday, March 3, 2020 There are two parts to this problem set. In Section I you are to calculate the impact of various agricultural policy instruments on U.S. rice markets. In Section 11 you are to write a 500 word (minimum) white paper addressed to the Secretary of Agriculture analyzing three of the proposals you analyzed in Section I. I. Costs of Policy Proposals (50%) In working these problems, assume that you are a policy analyst working for the Secretary of Agriculture. The information you need to answer the questions is given in the table below. Note that quantities are given in million hundredweight (cwt) and prices are given in $/cwt. You may not need all the information given in the table for every question. You must Show your work on one or more separate sheets and staple them to the problem set. Equilibrium price Before Rice Quantities and Prices elasticities Programs Supply (million cwt) 0.75 189.886 Demand (million cwt) 0.4 189.886 Farm Price ($lcwt) -- 10.00 Consumer price (SS/cwt) 10.00 Target Price ($lcwt) -- None Support Price ($lcwt) -- None Government Cost (mil $) -- None NOT : - = Not applicable. 1. The Secretary of Agriculture (Mr. Sonny Perdue) is considering recommending a surplus purchase program for rice to the President with a support price of $14.00/cwt. Before he submits his recommendation, he asks you to determine how much rice the government will have to purchase to support the price of rice at that level and what the cost to the government will be. Fill in the blanks below with your answers to the Secretary. Surplus to purchase = Cost to the government = 2. Congressman Drinksalot is proposing a marketing loan program instead of a government surplus purchase program to support price at a loan rate of $14.00/cwt because he claims it will cost the government less than the surplus purchase program. Secretary Perdue wants to know whether the Congressman is right and asks you to calculate the cost of the marketing loan program to the government. Fill in the blanks below with your answers to the Secretary. Cost of marketing loan program to the government: How much more or less will the Congressman's proposed program cost