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Problem 02-10 (algo) Consider a market where supply and demand are given by 0x5 = '|8 + PX and Qxd = 84 2Px. Suppose the
Problem 02-10 (algo) Consider a market where supply and demand are given by 0x5 = '|8 + PX and Qxd = 84 2Px. Suppose the government imposes a price floor of $39, and agrees to purchase and discard any and all units consumers do not buy at the floor price of $39 per unit. Instructions: Enter your responses rounded to the nearest penny (two decimal places). a. Determine the cost to the government of buying firms' unsold unitst b. Compute the lost social welfare (deadweight loss) that stems from the $39 price floor
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