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Please refer to the background information below to answer the following two questions. Suppose that the demand and supply of legal services in Utopia are

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Please refer to the background information below to answer the following two questions. Suppose that the demand and supply of legal services in Utopia are given below: Demand: @ =90.3 9P thousand hours Supply: @ =4.3+4+5P thousand hours in which @ is the amount of legal services in thousands of hours and P is the price per each hour of legal services (in $). The unregulated market equilibrium price is $6.14 per hour and the market equilibrium quantity is 35.01 thousand hours. 16. To encourage the citizens to acquire more legal services, the government puts forward a subsidy of $10 per each hour of legal service acquired. After the subsidy, buyers pay $[ Answerl6A | per hour less than before and sellers receive [ Answerl6B | per hour more than before. 17. To finance the subsidy, the government will need to raise $| Answerl7A | thousand. The subsidy will generate a deadweight loss of [ Answer17B | thousand. Please refer to the background information below to answer the following three questions. The market demand for widgets is given as follows. Demand: P =640 4@ dollars per unit Suppose that the government imposes a price ceiling at $160 per unit. After the ceiling is imposed, 40 units are produced and traded. 18. After the ceiling is imposed, there will be an excess demand of [ Answerl8 | units. 19. At this proposed price ceiling, the maximum possible consumer surplus will be $[ Answerl9 |. 20. If there is a competitive market for bribery to determine the allocation, the bribe at the equilibrium will be $[ Answer20A | per unit, and the consumer surplus will be $[ Answer20B |

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