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Suppose the market for mushrooms is competitive, that the marginal benefit is given by $50 - 2*Q and the marginal cost of mushrooms is $10

Suppose the market for mushrooms is competitive, that the marginal benefit is given by $50 - 2*Q and the marginal cost of mushrooms is $10 + 3* Q, where Q is tons. Please now assume that the government decides to subsidize mushroom harvests by building roads that makes mushroom harvest cheaper. The value of this subsidy is $5.00 per ton and is the same for all tons harvested. What is the predicted equilibrium price and quantity with the subsidy? Please explain and show your calculations. Suppose the market for mushrooms is competitive, that the marginal benefit is given by $50 - 2*Q and the marginal cost of mushrooms is $10 + 3* Q, where Q is tons. Please now assume that the government decides to subsidize mushroom harvests by building roads that makes mushroom harvest cheaper. The value of this subsidy is $5.00 per ton and is the same for all tons harvested. What is the predicted equilibrium price and quantity with the subsidy? Please explain and show your calculations

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