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Question 1: This question asks you to think through the logic of the European Union putting a price cap on Russian oil. To simplify, we

Question 1:This question asks you to think through the logic of the European Union putting a price cap on Russian oil. To simplify, we assume that the EU produces no oil. Use the labels provided to answer this question. For example, I would describe the Total Surplus as A+B+C+E+F+G. First, assume the equilibrium of the market is where supply meets demand. The price is P and the quantity is Q.

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