Use the Figure below to answer the following questions: (5%)

a.

In the free market, what is the equilibrium price and quantity of ammunition?

b.

If the government imposes a 200-box quota on ammunition, what is the new equilibrium price and quantity?

c.

Which letters represent the area of consumer surplus before the quota?

d.

Which letters represent the area of consumer surplus after the quota?

e.

Which letters represent the area of producer surplus before the quota?

f.

Which letters represent the area of producer surplus after the quota?

g.

Which letters represent the deadweight loss from the quota?