In early 2010, the U.S. government offered an $8,000 subsidy to new homebuyers. What effect does a per house subsidy have on the equilibrium price and quantity of the housing market? What is the incidence of the subsidy on buyers? Hint: A subsidy is a negative tax. Part 2 A per house subsidy provided to consumers will not change increase decrease the equilibrium price and will not change increase decrease the equilibrium quantity. Part 3 What is the incidence of the subsidy LOADING... on buyers? Part 4 The incidence of the subsidy on buyers is Part 5 A. the difference in the pre-subsidy equilibrium house quantity and the new equilibrium house quantity. B. the difference in the pre-subsidy equilibrium house price and the new equilibrium house price. C. the difference in the pre-subsidy equilibrium house price and the new equilibrium house price divided by the subsidy. D. the difference in the pre-subsidy equilibrium house price and the new equilibrium house price minus the $8,000 subsidy divided by the subsidy. E. the new equilibrium house quantity