Milk is initially sold in an open, perfectly competitive market. Domestic milk producers are willing to supply milk according to the supply function P(QS)=38+25Q and domestic consumers demand milk according to the function P(QD)=19213Q, where P represents the cost in dollars per barrel and Q is measured in thousands of barrels.

363,000 barrels (Q = 363) are imported when the market is perfectly competitive. Later, the government imposes an import tariff that causes domestic supply to increase by 30,000 barrels (increase in Q by 30). Calculate the loss of market efficiency and the tariff revenues generated as a result of the import tariff. Don't forget to convert your answer to reflect the units appropriate to this problem.

• illustrate a graph with areas clearly labeled with letters
• Refer to the lettered-areas when you calculate the "new" and "original" scenario. For example, if the problem asks you to quantify the change in CS, you should derive CS = CSnew - CSold, instead of just identifying CS.
• Only one numerical calculation for the area of lettered-areas of the graph is required for the problem